Example nple (1):- If the original value of the machine is 25000$ and it is 5 year old, what the value rate of the machine, if there was not any recovery value. Example (2):- For the previous example the recovery amount of the equipment is 5000$. What is the value rate of the machine? Table (1): Average Rates for Investment Costs Item Average Value (%) Interest 3 -9 Таx 2 -5 Insurance 1 - 3 Storage 0.5 – 1.5

Example nple (1):- If the original value of the machine is 25000$ and it is 5 year old, what the value rate of the machine, if there was not any recovery value. Example (2):- For the previous example the recovery amount of the equipment is 5000$. What is the value rate of the machine? Table (1): Average Rates for Investment Costs Item Average Value (%) Interest 3 -9 Таx 2 -5 Insurance 1 - 3 Storage 0.5 – 1.5

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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A machine cost is 3000$ and salvage value 850$, if the rate of interest is 9% and number of years are 5 then what willI be the present worth for fixed output condition? Select one: a. 2448$ b. 2418$ c. 2427$
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