1. Maintenance costs for a small bridge with an expected 50-yr life are estimatedto be P 2,000.00 each year for the first 5 years, followed by a P10.000 expenditurein the 15th year and a P 20,000 expenditure in the 25th year. IfI 12% per year,what is the equivalent uniform annual maintenance costs over the entire 50-yrperiod?a. P 1,230b. P 852C. P 936d. P 1,159

Uniform equivalent annual maintenance cost is equivalent annual cost based on all cost that are…

Answered: Maintenance costs for a small bridge…

Essentials Of Investments

11th Edition

ISBN:9781260013924

Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Chapter1: Investments: Background And Issues

Section: Chapter Questions

Problem 1PS

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Maintenance costs for a small bridge with an expected 50-yr life c o be P 2,000.00 each year for the first 5 years, followed by a P10.C n the 15th year and a P 20,000 expenditure in the 25th year. Ifl 1 what is the equivalent uniform annual maintenance costs over the period? a. P 1,230 C. P 936