An electric cooperative is considering the use of a concrete electric pole in the expansion of its power distribution lines. A concrete pole cost P18,000 each and will last 20 years. The company is presently using creosoted wooden poles which cost P12,000 per pole and will last 10 years. If money is worth 12 percent, which pole should be used? Assume annual taxes amount to 1 percent of first cost and zero salvage value in both cases.

Structural Analysis
6th Edition
ISBN:9781337630931
Author:KASSIMALI, Aslam.
Publisher:KASSIMALI, Aslam.
Chapter2: Loads On Structures
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An electric cooperative is considering the use of a concrete electric pole in the
expansion of its power distribution lines. A concrete pole cost P18,000 each and will last
20 years. The company is presently using creosoted wooden poles which cost P12,000
per pole and will last 10 years. If money is worth 12 percent, which pole should be used?
Assume annual taxes amount to 1 percent of first cost and zero salvage value in both
cases.
Transcribed Image Text:An electric cooperative is considering the use of a concrete electric pole in the expansion of its power distribution lines. A concrete pole cost P18,000 each and will last 20 years. The company is presently using creosoted wooden poles which cost P12,000 per pole and will last 10 years. If money is worth 12 percent, which pole should be used? Assume annual taxes amount to 1 percent of first cost and zero salvage value in both cases.
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