An asphalt and aggregate mixing plant having a capacity of 50 cu.m. every hour costs P2,500,000. It is estimated to process 800,000 cu.m. during its life. During a certain year, it processed 60,000 cu.m. if its scrap value is P100,000, determine the total depreciation during the year and the depreciation cost chargeable to each batch of 50 cu.m. using the service-output method.
An asphalt and aggregate mixing plant having a capacity of 50 cu.m. every hour costs P2,500,000. It is estimated to process 800,000 cu.m. during its life. During a certain year, it processed 60,000 cu.m. if its scrap value is P100,000, determine the total depreciation during the year and the depreciation cost chargeable to each batch of 50 cu.m. using the service-output method.
Chapter2: Loads On Structures
Section: Chapter Questions
Problem 1P
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An asphalt and aggregate mixing plant having a capacity of 50 cu.m. every hour costs P2,500,000. It is estimated to process 800,000 cu.m. during its life. During a certain year, it processed 60,000 cu.m. if its scrap value is P100,000, determine the total depreciation during the year and the depreciation cost chargeable to each batch of 50 cu.m. using the service-output method.
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