7. Compare the following bridges on the basis of capitalized cost with i=14% effective. Bridge a Bridge b First Cost P500,000 P450,000 Life, years 40 30 Renewal Cost 700,000 550,000 Annual 8,000 10,000 Maintenance

Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
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Compare the following bridges on the basis of capitalized cost with i=14% effective.
7. Compare the following bridges on the basis of capitalized
cost with i=14% effective.
Bridge a
Bridge b
First Cost
P500,000
P450,000
Life, years
40
30
Renewal Cost| 700,000
550,000
Annual
8,000
10,000
Maintenance
Transcribed Image Text:7. Compare the following bridges on the basis of capitalized cost with i=14% effective. Bridge a Bridge b First Cost P500,000 P450,000 Life, years 40 30 Renewal Cost| 700,000 550,000 Annual 8,000 10,000 Maintenance
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