An asset was purchased six years ago at a cost of P7,000. It was estimated to have a useful life of ten years with a salvage value of P300 at the end of the time. It is now of no future use and can be sold for only P800. Determine the sunk cost if the depreciation has been computed by SYD.

An asset was purchased six years ago at a cost of P7,000. It was estimated to have a useful life of ten years with a salvage value of P300 at the end of the time. It is now of no future use and can be sold for only P800. Determine the sunk cost if the depreciation has been computed by SYD.

Structural Analysis

6th Edition

ISBN:9781337630931

Author:KASSIMALI, Aslam.

Publisher:KASSIMALI, Aslam.

Chapter2: Loads On Structures

Section: Chapter Questions

Problem 1P

See similar textbooks

Related questions

Q: A construction equipment costing 630,000 has a life of 10 years using the sum of years digit method,…

Q: Calculate the total hourly owning and operating cost of a 300-hp crawler-type excavator bought at…

A: Note: The definition of IITS is not being provided with so it neglected in the calculation Cost of…

Q: Double Declining Balance Method

Q: machine has a life of 30 years, costs $244300, and has a salvage value of $10880 using straight-line…

A: Given the cost price of a machine and its salvage value after the period of 30 years. To find :…

Q: SUBJECT: ENGINEERING ECONOMY TOPIC: DEPRECIATION SHOW THE COMPLETE AND DETAILED SOLUTION OF THIS…

A: Depreciation represents how much of an asset's value has been used. Depreciating assets helps to…

Q: An asset that is book-depreciated over a 5-year period by the straight line method has C3 = P…

A: The formula for straight line SL depreciation is as follows : d=(P-S) /n Here, P is initial cost,…

Q: what method is used in the calculation of

A: This question is from Estimation, costing and evaluation

Q: A telephone company purchased a microwave radio equipment for P6,000,000.00. Freight and…

Q: The purchase cost of an excavating machine is $200,750. After a useful life of 6 years, it is…

A: Given, Present value P=200750 $ N=6 years Salvage value F= 45000 $ Interest i=12.7 %

Q: 3. The cost of the equipment is P550,000 and the cost of handling and installation is P28,000. If…

Q: Using straight-line depreciation, what is the depreciation charge in the fifth year for an asset…

Q: Contructor buy a bulldozer for his job, paying P30,000 to the manufacturer. Freight and ensurance…

A: The sum of years digits method is a form of accelerated depreciation that is based on the assumption…

Q: A machine costs P1,800,000. It has a salvage value of P300,000 at the end of 5 years. If money is…

A: Given data, Machine cost (C) = P1,800, 000 Salvage value = P300,000 Period = 5 years Intrest rate…

Q: X promised to construct a house for Y. The contract carried a penal clause that in case of…

A: Contract- It is a legally binding promise. It may be a promise to do something or a vow to stop…

Q: A machine is bought at P420,000 with an economic life of 6 years and a salvage value of P50,000. The…

Q: Problem 1: A dump truck was bought for P750,000 three years ago. It will have a salvage value of…

Q: n electronics balance costs P98,000 and has an estimated salvage value of P6,000 at the end of its…

Q: 13. A 5- year MACRS has a cost basis for depreciation of $10,000. Salvage (market) value is $2,000.…

A: Given Data:Basis Cost = $10000.Salvage Value = $2000.Useful Life= 5years

Q: 49. Tony bought equipment which cost P320000. Freight and installation expenses cost him P15,000 if…

Q: he initial cost of a piece of equipment is IQD Its salvage value will be IQD 5 10° after an…

A: Given:- IQD 20 *106 Salvage value=IQD=5*106 t=5years d=0.25 To find:- Book value depreciation…

Q: Ques A construction equipment is purchased for USD 12000 at an interest rate of 3 % and is estimated…

Q: company purchased an equipment for P8,000,000. Freight and installation charges amounted to 4.5% of…

Q: A contractor is considering three capital investments. Each investment is consid- ered to have zero…

Q: A building has a salvage value of P1 M after 50 years. Annual depreciation is P2 M. Using straight…

Q: A contractor purchases an eqpt worth P250k & he estimates that it will be able to produce 1M units…

A: Depreciation: Depreciation refers to two attributes of the same principle: initially, the actual…

Q: An old building has been purchased by a person at a cost of Rs. 30000 excluding the cost of the…

Q: The initial cost of a piece of construction equipment is P30,000,000 having a useful life of 10…

A: We have to determine the value of depericiation at 5th year instant when 6 % interest is applied…

Q: A test facility setup costs 10,00,000 at the time of installation, and its scrap value is 50,000 at…

A: Given data- Initial cost= Rs 10,00,000Scrap value= Rs 50,000Useful life =10 yearsTo Find-Book value…

Q: A track dozer costs $240,000 to purchase.You plan to use it for 5 years, and each year you expect to…

A: Step 1 Calculate the Present Value of the Salvage Value:This is the amount the dozer will be worth…

Q: A man bought an equipment which cost P520,000.00. Freight and installation expenses cost him…

Q: A man deposited (in the bank) 500,000 ID at the end of each month for four years with 10% interest…

A: Given data P=500,000ID n=15years Salvage value, F=2.5M Maintenance cost, M=250,000ID i=10%

Q: A new engine was installed by a textile plant at cost of P and projected to have a useful life of 10…

Q: " The Total Selling Price of a ""100 sq.m. lot and a new house built on it"" equals P6,400,000.00.…

Q: An equipment cost $100,000 with a salvage value of $5,000 at the end of 10 years. Using a sinking…

A: Given, Equipment cost, FC= $100,000 salvage value, V= $5,000 n=10 years, i = 4% per annum.

Q: Using declining-balance depreciation with d = 18 percent, what is the depreciation charge in the 9…

A: Initial cost = $156400 Depreciation, d= 18 percent

Q: A test facility setup costs 10,00,000 at the time of installation, and its scrap value is * 50,000…

Q: A printing machine is to be installed at a cost of 38000 in a press. Assuming the life of the…

A: given cost of machine S=38,000life n=25 yearscompound interest i=5%salvage value=3500

Q: An electronic balance costs ₱90,000 and has an estimated salvage value of ₱8,000 at the end of its…

A: Cost of the electronic balance (C) = P90,000Estimated salvage value (S) = P8,000Lifetime (n) = 10…

Q: A machine costs P 800 000 and has an estimated salvage value of P 200 000 at the end of 20 years…

A: Given data, Machine cost =P 8,00,000 Salvage value = P200,000 Life = 20 years Interest rate = 8% To…

Question

100%

An asset was purchased six years ago at a cost of P7,000. It was estimated to have a
useful life of ten years with a salvage value of P300 at the end of the time. It is now of no
future use and can be sold for only P800. Determine the sunk cost if the depreciation has
been computed by SYD.

Expert Solution

This question has been solved!

Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.

This is a popular solution!

SEE SOLUTION Check out a sample Q&A here

Step 1

VIEW

Step 2

VIEW

Trending now

This is a popular solution!

Step by step

Solved in 2 steps

SEE SOLUTION Check out a sample Q&A here

Knowledge Booster

Learn more about

Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, civil-engineering and related others by exploring similar questions and additional content below.

Similar questions

4. An engineer bought an equipment for P500,000. Other expenses including installations amounted to P30,000. At the end of its estimated useful life of 10 years, the salvage value will be 10% of the first cost. Using straight line method of depreciation, what is the book value after 5 years?
An asset having initial cost of 1 million,salvage value 0.1million and economic life of 7 years is owned by a private construction firm.Calculate annual depreciation by using at least three different techniques.On the basis of results please express that which method of depreciation will be suitable for the company and why?
IF you subtract the ordinary simple interest from the compound interest of the same principal for 2 years at 6 % per annum, the value is 18 php. Determine the amount of the principal.
. A machine has initial cost of 10,000 and a salvage value of P500 for the life of 10years. Calculate the book value on the 8th year of the equipment given the 12% interest rate.
Please show all cash flow diagrams and math calculations
A construction equipment has an initial cost of Rs. 2,00,000 and salvage value of Rs. 50,000 at the end of an economic lift of 5 years. The rate of straight-line depreciation and total depreciation will be.
And please tell what is the use of recovery time in this question whybit is given where it will be used? Need complete step by step solution.I will give upvote
Depreciation. 2.
Which of the following is/are accelerated methods of depreciation: (A) Straight- Line Method; (B) Sinking Fund Method; (C).Sum of Years' Digit Method; (D) Declining Balance Method; (E) Double Declining Balance Method C and E B and C A and B O C only
An equipment has been purchased at an initial cost of Rs. 160000 and has an estimated salvage value of Rs 10000. The equipment has an estimated life of 5 years. The difference between the book values (in Rs. in integer) obtained at the end of 4th year using straight line method and sum of years digit method of depreciation is
2. A backhoe loader is purchased with an amount of P 2,800,000.00 by a contractor. The manufacturer explained that the said equipment has an estimated 10 years of useful life and a salvage value of P 125,000.00. Determine its depreciation and book value for each year using the Straight Line Method. Year 0 1 2 3 4 5 6 7 8 Book Value P 0.00 Depreciation per year ℗ 0.00 Book Value at the end of the Year $ 2,800,000.00