Engineering Board Exam Reviewer · Equivalent Uniform Annual Cost · easy
A pump costing P18,000 has a life of 4 years and no salvage value. Find its equivalent uniform annual cost at 12% interest.
- P4,500
- P5,926.22
- P3,766.22
- P4,993.38
Answer
B. P5,926.22
Solution
EUAC=18,000(A/P,12%,4)=18,000(0.329234)=P5,926.22.
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