A machine shop purchased 11 years ago a milling machine for Php60,000. A sum-of-the-year ’s-digit method had been provided based on the twenty-year life of a machine. The owner of the machine shop desires to replace the old milling machine with a modern unit having many advantages costing Php100,000. It can sell the old unit for Php20,000 after its useful life. How much additional capital will be required for the purchases?

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