An asset is purchased for P120,000. Its estimated economic life is 10 years, after which it will be sold for P12,000.00. Find the depreciation for the first year using SOYD. O P20,000 O P18,400.25 O P21,080.35 O P19,636.36 O P23,456.25

An asset is purchased for P120,000. Its estimated economic life is 10 years, after which it will be sold for P12,000.00. Find the depreciation for the first year using SOYD. O P20,000 O P18,400.25 O P21,080.35 O P19,636.36 O P23,456.25

Managerial Economics: Applications, Strategies and Tactics (MindTap Course List)

14th Edition

ISBN:9781305506381

Author:James R. McGuigan, R. Charles Moyer, Frederick H.deB. Harris

Publisher:James R. McGuigan, R. Charles Moyer, Frederick H.deB. Harris

Chapter17: Long-term Investment Analysis

Section: Chapter Questions

Problem 2E

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Question

An asset is purchased for P120,000. Its estimated economic life is 10
years, after which it will be sold for P12,000.00. Find the depreciation for
the first year using SOYD.
P20,000
O P18,400.25
O P21,080.35
P19,636.36
P23,456.25

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