An industrial plant bought a generator set for P90,000. Other expenses including installation amounted to P10,000. The generator set is to have a life of 17 years with a salvage value at the end of life of P5,000. Determine the depreciation charge during the 13th year and the book value at the end of 13 years by the: (a) declining balance method, (b) double declining balance method, (c) sinking fund method at 12% and

An industrial plant bought a generator set for P90,000. Other expenses including installation amounted to P10,000. The generator set is to have a life of 17 years with a salvage value at the end of life of P5,000. Determine the depreciation charge during the 13th year and the book value at the end of 13 years by the: (a) declining balance method, (b) double declining balance method, (c) sinking fund method at 12% and

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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John bought a machine set for P90,000. Other expenses including installation amounted to P10,000. The machine set is to have a life of 17 years with a salvage value of P5,000. Determine the depreciation charge during the 13th year and the book value at the end of 13 years bya.) Declining balance methodb.) Double declining balance methodc.) Sinking fund method at 12%d.) Sum-of-the-years-digit method
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