3. An office equipment cost P25,000 brand new. It has an estimated salvage value of P1,500 at the end of 10 years. Find the book value at the end of 5 years using Sinking fund method with interest 5%.

ENGR.ECONOMIC ANALYSIS
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Chapter1: Making Economics Decisions
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Subject: Engineerings Economics 
Topics:1. Capitalized cost 2. Amortization 3. Depreciation SLM and SFM

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3. An office equipment cost P25,000
brand new. It has an estimated salvage
value of P1,500 at the end of 10 years.
Find the book value at the end of 5 years
using Sinking fund method with interest
5%.
Transcribed Image Text:3. An office equipment cost P25,000 brand new. It has an estimated salvage value of P1,500 at the end of 10 years. Find the book value at the end of 5 years using Sinking fund method with interest 5%.
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