he first cost of a certain equipment is P350.000 and a salvage value of P48,000 at the end of its life of 6 years. Annual cost is P15.000. If money is orth 8% compounded annually, find the capitalized cost. spress your answer in whole number.

he first cost of a certain equipment is P350.000 and a salvage value of P48,000 at the end of its life of 6 years. Annual cost is P15.000. If money is orth 8% compounded annually, find the capitalized cost. spress your answer in whole number.

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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Question

The first cost of a certain equipment is P350,000 and a salvage value of P48,000 at the end of its life of 6 years. Annual cost is P15,000. If money is
worth 8% compounded annually, find the capitalized cost.
Express your answer in whole number.

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