A technopreneur can invest in an equipment to be used for their operation for P800,000. Its salvage
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Question:
A technopreneur can invest in an equipment to be used for their operation for P800,000. Its salvage value after 5 years is P180,000. The uniform annual revenue that it can give is P400,000. The annual operation and maintenance cost is P45,000, the annual tax and insurance is 3% of the first cost. If money is worth 10%, find the following values:
a. depreciation
b. TAC (using Rate Of Return/ROR)
c. %ROR
d. MRP
e. FWi
f. FWo
g. After finding all the values, should he invest, using Future Worth (FW) method?
Related Book For
Financial Accounting Tools for business decision making
ISBN: 978-0470534779
6th Edition
Authors: Paul D. Kimmel, Jerry J. Weygandt, Donald E. Kieso
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