11. A piece of earth-moving machine equipment was purchased at a cash price of P25,0000. The life of this equipment was estimated at 6 years with no salvage value. However, at the end of 4 years, the machine had become so inefficient, because of waring of parts, this was replaced. Depreciation was allowed on the company books by the sinking fund method with a 4% interest. Determine the annual depreciation. A. P3769 B. P3468 C. P4220 D. P3890

11. A piece of earth-moving machine equipment was purchased at a cash price of P25,0000. The life of this equipment was estimated at 6 years with no salvage value. However, at the end of 4 years, the machine had become so inefficient, because of waring of parts, this was replaced. Depreciation was allowed on the company books by the sinking fund method with a 4% interest. Determine the annual depreciation. A. P3769 B. P3468 C. P4220 D. P3890

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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