A salesman offers a businessman two options for certain machine. Using the Present Value (PV) Method in determining the more economical, what is the Present Value of Option A? Assume interest is 24% cpd. a. Option A: First Cost – P203,692; Annual operating cost – P93,768;                     Salvage Value – P15,969; and Useful life – 4 years       Option B: First Cost – P65,000; Annual operating cost – P20,000;                          Salvage Value – P2,500; and Useful life – 6 years

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