A consortium of international communications companies contracted for the purchase and installation of a fiber optic cable linking two major Asian cities at a total cost of P960 Million. This amount includes freight and installation charges at 10% of the total contract price. If the cable depreciated over a period of 15 years with zero salvage value, what is the depreciation charge during the 8th year using the sum of years digits method.

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A: Average accounting rate of return( on basis of initial investment). =( average net income ×100) ÷…

Q: ompany has mineral rights. An engineering and cost analysis has been made, and it is expected that…

A: NPV is the total worth of present cash inflows and outflow of project and it should be positive to…

Q: An energy production company has the following information regarding the acquisition of new…

A: Tax Depreciation Values refer to the calculated amounts used for tax purposes to reflect the gradual…

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A: When the asset is obtained for a period of time, for the purpose of usage and the asset is to be…

Q: Windhoek Mines, Limited, of Namibia, is contemplating the purchase of equipment to exploit a mineral…

A: Net Present Value=(Present Value of Cash Inflows-Present Value of Cash Outflows)

Q: Windhoek Mines, Limited, of Namibia, is contemplating the purchase of equipment to exploit a mineral…

A: Net Present Value:Net present value (NPV) is simply refers to the difference between the present…

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A: The break even point is where there is no loss and no profit. If selling is above the break even…

Q: Highland Mining and Minerals Co. is considering the purchase of two gold mines. Only one investment…

A: Step 1 NPV The difference between the present value of your cash inflows and outflows over a…

Q: ndhoek Mines, Limited, of Namibia, is contemplating the purchase of equipment to exploit a mineral…

A: NPV(Net present Value) is the technique which has been used to evaluate a business project, in…

Q: Windhoek Mines, Limited, of Namibia, is contemplating the purchase of equipment to exploit a mineral…

A: NPV is also known as Net Present Value.. It is a capital budgeting technique which helps in decision…

Q: a. What is the net present value of the proposed mining project? b. Should the project be accepted?

A: Net Present Value is a frequently used tool in business decision-making to evaluate the economic…

Q: Sandstorm Corporation decides to develop a new line of paints. The project begins in 2023 in the…

A: In 2023, since Sandstorm Corporation capitalizes its research and experimental expenditures, it…

Q: Windhoek Mines, Ltd., of Namibia, is contemplating the purchase of equipment to exploit a mineral…

A: NPV is also known as Net Present Value.. It is a capital budgeting technique which helps in decision…

Q: Depletion Expense.  During the year, Tulsa Oil Corporation paid $50 million for a partial interest…

A: The formula to calculate depletion charge per barrel = Cost Incurred (Amount Paid) / Future…

Q: Highland Mining and Minerals Company is considering the purchase of two gold mines. Only one…

A: NPV is also known as Net Present Value.. It is a capital budgeting technique which helps in decision…

Q: 1-The present worth of the Crane A Capital investment and Annual expenses over 5 years is 2-The…

A: Present Worth: It is the present value of the investment's annual cash flows and the initial cost.…

Q: Anglogold Ashanti (a gold mining company in South Africa)  paid $500 million for the right to…

A: Capital Budgeting: Capital budgeting decisions are the most important decision in corporate…