connect to points son opposite sides. Length, miles First cost of cable per mile Annual maintenance per mile Interest on investment Taxes Net salvage value per mile Life, years Land Route 10 P40,000 950 18% 3% 12000 15 Submarine Route 5 P68,000 3,500 18% 3% 22000 15 Which is more economical? Ans. The submarine cable is more economical; the rate of return on additional investment is only 8.97%.
connect to points son opposite sides. Length, miles First cost of cable per mile Annual maintenance per mile Interest on investment Taxes Net salvage value per mile Life, years Land Route 10 P40,000 950 18% 3% 12000 15 Submarine Route 5 P68,000 3,500 18% 3% 22000 15 Which is more economical? Ans. The submarine cable is more economical; the rate of return on additional investment is only 8.97%.
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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