7. What is the minimum interest rate of a company should accept, if it is support and finance an energy saving program that saves P20,000.00 per year over its useful life of 10 years, if the initial cost is P112,000.00? a. 10% b. 12% c. 17% d. 20%

EBK CONTEMPORARY FINANCIAL MANAGEMENT
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ISBN:9781337514835
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Chapter19: Lease And Intermediate-term Financing
Section: Chapter Questions
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7. What is the minimum interest rate of a company should accept, if it is support and finance
an energy saving program that saves P20,000.00 per year over its useful life of 10 years, if
the initial cost is P112,000.00?
a. 10%
b. 12 %
c. 17%
d. 20%
Transcribed Image Text:7. What is the minimum interest rate of a company should accept, if it is support and finance an energy saving program that saves P20,000.00 per year over its useful life of 10 years, if the initial cost is P112,000.00? a. 10% b. 12 % c. 17% d. 20%
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