A sala set is costs P80,000. Its estimated scrap value is P5,000 after 9 years. Solve for the constant declining percentage(k). Use Declining Balance Method.
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- A machine costs $17,652 and is expected to have a scrap value of $2,919 whenever it is retired. Operating and Maintenance costs are $1,355 for the first year and expected to increase by $1,233 thereafter. If the MARR is 13%, determine the minimum equivalent uniform annual cost associated with the optimal economic life of the machine. The service life of this machine is 5 years. Note: round your answer to two decimal places, and do not include spaces, currency signs, plus or minus signs, nor commas.A machine has a first cost of P200,000. At the end of its economic life of 10 years, its scrap value is estimated to be P25,000. What will be its book value in pesos at the end of 8 years? Use Double Declining Balance Method.A machine costing P 95,000 is expected to produce 10,000 units of a certain products during its entire life before being replaced. At the end of its life, it will have a scrap value of P 5,000. The cost of housing the machine is P 2,500 a year. The power consumption per unit is P 0.90 and the maintenance of the machine per unit will be P 0.70. Labor costs P 3.50 per unit. If depreciation is by declining balance method, determine the cost per unit in its 3rd year of operation if the annual production is 2500 units.
- Consider the following 2 alternatives. Alternative A Initial cost: $10,000 Mainteinance anual $6000 Useful life 2 years Residual Value $1000 Alternative B Initial cost $ 12,000 Maintenance annual $ 5000 Useful life 4 years Residual value $ 3000 MARR for both is 8% a) The equivalent Uniform Annual Value for alternative A is $ and the equivalent Uniform Annual Value for alternative B is $The initial cost of a van is $22,800; its salvage value after 5 years will be $8500. Maintenance is estimated to be a uniform gradient amount of $225 per year (with no maintenance costs the first year), and the operation cost is estimated to be 36 cents/mile for 400 miles/month. If money is worth 6%, what is the approximate equivalent uniform annual cost (EUAC) for the van, expressed as a monthly cost?EXCEL, an equipment costing $100,000 has a useful life of 6 years. It has a resale value of $8,000. Annual costs will be $7,000 for each of the year. Another equipment, APLUS costing $120,000 has a useful life of eight years, after which time its estimated resale value will be $25,000. Annual costs will be $5,000 for the first three years and then $8,000 for each of the next five years. Compute the annual equivalent cost for each equipment using a discount rate of 10%. Which equipment will be your choice and why? Round your answers to 2 decimal points.
- An electric power generating project has a first cost of $447,946 and annual operating costs of $30,000. There is a $180,000 overhaul cost in Year 8. The facility will have a salvage value of $75,000 at the end of Year 15. What is the minimum annual revenue for a breakeven PW at i=10%? Answer to the nearest whole dollar, and enter only the number. PLEASE USE EXCEL AND SHOW FORMULASA machine costing P720,000 is estimated to have a life of 10 years. If the annual rate of depreciation is 25%, determine the total depreciation at the tenth year using a constant percentage of the declining balance method.A machine costing P250,000 has an estimated life of 15 years with a book value of P30,000 at the end of the period. Compute the book value after 6 years using the declining balance method.
- $500,000 is invested in equipment having a negligible salvage value regardless of the number of years used. O&M costs equal $125,000 the first year and increase $25,000 per year. Based on a MARR of 10%, what are the optimum replacement interval and minimum EUAC?A printing machine initially costs ₱141,000. It can be sold for ₱15,000 at the end of its 14-year useful life.Using the double declining balance method, what is the BOOK VALUE of the machine at the end of the second year of its useful life?A 1000ft (one lane) asphalt road costs P3.8M. It requires no upkeep until the end of 3 years when P80,000 will be needed for repairs. After this P90,000 will be needed for repairs at the end of each year for the next 4 years, then P120,000 thereafter. Rework cost of 1.5M is expected every 6 years. If money is worth 11% compounded annually, what was would be the equivalent uniform annual cost for a 20-year period.
