» 1: An investment of P 250,000 can be made in a project that will produce a uniform annual revenue of P 192,800 for 5 years and then have a salvage value of 10% of the first cost. Operation and...


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» 1: An investment of P 250,000 can be made in a project that will produce a<br>uniform annual revenue of P 192,800 for 5 years and then have a salvage value of 10% of<br>the first cost. Operation and maintenance will be P 72,000 per year. Taxes and insurance<br>will be 4% of the first cost per year. The company expects capital to earn 20% before<br>income taxes.<br>1. PW method<br>2. FW method<br>3. AW method<br>

Extracted text: » 1: An investment of P 250,000 can be made in a project that will produce a uniform annual revenue of P 192,800 for 5 years and then have a salvage value of 10% of the first cost. Operation and maintenance will be P 72,000 per year. Taxes and insurance will be 4% of the first cost per year. The company expects capital to earn 20% before income taxes. 1. PW method 2. FW method 3. AW method

Jun 10, 2022
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