1. A machine shop purchased 10 years ago a milling machine for Php. 60,000.00. A straight-line depreciation reserve had been provided on a 20 years life of the machine. The owner of the machine shop desires to replace the old milling machine with a modern unit of many advantages costing Php. 100,000.00. It can sell the old unit for Php. 20,000. How much new capital will be required for the purchase?

1. A machine shop purchased 10 years ago a milling machine for Php. 60,000.00. A straight-line depreciation reserve had been provided on a 20 years life of the machine. The owner of the machine shop desires to replace the old milling machine with a modern unit of many advantages costing Php. 100,000.00. It can sell the old unit for Php. 20,000. How much new capital will be required for the purchase?

Structural Analysis

6th Edition

ISBN:9781337630931

Author:KASSIMALI, Aslam.

Publisher:KASSIMALI, Aslam.

Chapter2: Loads On Structures

Section: Chapter Questions

Problem 1P

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A machine shop purchased 10 years ago a milling machine for P60,000. A straight-line depreciation reserve had been provided on a 20 year life of the machine. The owner of the machine shop desires to replace the old milling machine with a modern unit of many advan. tages costing P100,000. It can sell the old unit for P20,000. How much new capital will be required for the purchase? Construct a straight line method
A lathe machine was purchased 12 years ago for P50,000. As the life of the machine was 20 years, a straight line depreciation reserve has been providedIt can sell the old unit for P15,000. The new machine will cost P75,000. Determine the new capital required to buy the new machine
A heavy equipment has been newly purchased by ML Bangbang Construction. The said equipment originally cost P65,000. It also costs the dealer P2,000 to transport the unit to the contractor's site. Another P3,000 have been added for the installation of the equipment. A. Determine the annual cost of depreciation using Straight Line and Sinking Fund method if the equipment life is expected to reach 10 years and have a salvage value of P5,000. Assume a fund with a compound interest rate of 5%.B. Determine the depreciation amount at year 7 using Declining Balance, Double Declining Balance, and SYD Method.
3. A machine shop purchased 12 years ago a milling machine for P68,000. A straight line depreciation reserve had been provided on a 25 year life of the machine. The owner of the machine shop desires to replace the old milling machine with a modern unit of many advantages costing P110,000. It can sell the old unit for P25,000. How much new capital will be required for the purchase?
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Engineering Eonomics Solution
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Engineering Economics Solution(Depreciation)
Engineering Eonomics Solution
A dump truck was bought for ₱300,000, six years ago. It will have a salvage value of ₱ 30,000 four years from now, what is its book value now if sinking fund method of depreciation is used at 6% interest per year? A. ₱ 20,484.3487 B. ₱ 142,884.8574 C. ₱ 157,115.1426 D. ₱ 235,689.6667
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