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Problem 1: On January 1, Namuvinnslan ehf. a new copper mine for ISK 17,500,000. According to estimate, 20,000,000 tons of copper can be extracted from the mine in 10 years. In order to be able to start copper mining, Namuvinnslan had to pay a cost in the amount of ISK 3,500,000. In 2020, 3,000,000 tonnes were extracted from the mine. They were all sold before the end of the year. What is the book value of the mine on December 31, 2020?
Select one alternative:
a-18,900,000 kr.
b-17,850,000 kr.
c-14,875,000 kr.
d-15,750,000 kr.
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