1. An equipment costs P100,000 with a salvage value of P5,000 at the end of 10 years. Calculate the annual depreciation cost by: a) SLDM b) SFDM at 4% interest

EBK CONTEMPORARY FINANCIAL MANAGEMENT
14th Edition
ISBN:9781337514835
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Chapter9: Capital Budgeting And Cash Flow Analysis
Section: Chapter Questions
Problem 2P
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1. An equipment costs P100,000 with a salvage value of P5,000 at the end of 10
years. Calculate the annual depreciation cost by:
a) SLDM
b) SFDM at 4% interest
Transcribed Image Text:1. An equipment costs P100,000 with a salvage value of P5,000 at the end of 10 years. Calculate the annual depreciation cost by: a) SLDM b) SFDM at 4% interest
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