The initial cost of a piece of construction equipment is P30,000,000 having a useful life of 10 years. The estimated salvage value of the equipment at the end of the useful life is P450,000. Determine accumulated depreciation at the end of 5th year using Sinking fund method, if interest rate is 8.2 % per year?
The initial cost of a piece of construction equipment is P30,000,000 having a useful life of 10 years. The estimated salvage value of the equipment at the end of the useful life is P450,000. Determine accumulated depreciation at the end of 5th year using Sinking fund method, if interest rate is 8.2 % per year?
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
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Transcribed Image Text:The initial cost of a piece of construction
equipment is P30,000,000 having a useful
life of 10 years. The estimated salvage value
of the equipment at the end of the useful
life is P450,000. Determine accumulated
depreciation at the end of 5th year using
Sinking fund method, if interest rate is 8.2
% per year?
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