An asset was bought for Php $15,500,0008$ years ago, with an expected

lifetime fo $12$ years. If Declining balance method is applied, what is the

book value of the asset if it has a salvage value equivalent to $5\%$ of its initial

investment cost?

P $1,997,581\mathrm{.}32$

P $1\mathrm{.}339,632\mathrm{.}65$

P $2,103,673\mathrm{.}65$

$P2,209,221\mathrm{.}91$ SHOW SOLUTION