The purchased price of the equipment is P12,000 and its estimated maintenance costs are P500 for the first year P1,500 for the second year and P2,500 for the third year. After three years of used equipment is replaced, it has no salvage value. Compute the present equivalent cost of the equipment using 10% interest. (capitalized cost with solution)
The purchased price of the equipment is P12,000 and its estimated maintenance costs are P500 for the first year P1,500 for the second year and P2,500 for the third year. After three years of used equipment is replaced, it has no salvage value. Compute the present equivalent cost of the equipment using 10% interest. (capitalized cost with solution)
Chapter2: Loads On Structures
Section: Chapter Questions
Problem 1P
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The purchased price of the equipment is P12,000 and its estimated maintenance costs are P500 for the first year P1,500 for the second year and P2,500 for the third year. After three years of used equipment is replaced, it has no salvage value. Compute the present equivalent cost of the equipment using 10% interest. (capitalized cost with solution)
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