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3. An office equipment cost P25,000 brand new. It has an estimated salvage value of P1,500 at the end of 10 years. Find the book value at the end of 5 years using Sinking fund method with interest 5%.

3. An office equipment cost P25,000 brand new. It has an estimated salvage value of P1,500 at the end of 10 years. Find the book value at the end of 5 years using Sinking fund method with interest 5%.

ENGR.ECONOMIC ANALYSIS
ENGR.ECONOMIC ANALYSIS
14th Edition
ISBN:9780190931919
Author:NEWNAN
Publisher:NEWNAN
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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SUBJECT: ENGINEERING ECONOMICS 
TOPIC: SINKING FUND METHOD 

PLEASE ANSWER THE FIRST QUESTION AND MAKE A BASIS ON THE SECOND PICTURE

3. An office equipment cost P25,000 brand new. It has an estimated salvage value of P1,500 at the end of 10 years. Find the book value at the end of 5 years using Sinking fund method with interest 5%.
Transcribed Image Text:3. An office equipment cost P25,000 brand new. It has an estimated salvage value of P1,500 at the end of 10 years. Find the book value at the end of 5 years using Sinking fund method with interest 5%.
✓ d= Co-C₂ Co-C₂ F/A. 1%. L 01-04-1 D₁ = d (F/A.1%.n) ✔ D₁ = (Co-C₂₁) C₁ = Co-Dn. (F/A.1%. n) F/A.1%. L
Transcribed Image Text:✓ d= Co-C₂ Co-C₂ F/A. 1%. L 01-04-1 D₁ = d (F/A.1%.n) ✔ D₁ = (Co-C₂₁) C₁ = Co-Dn. (F/A.1%. n) F/A.1%. L
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