it which they use to preserve their goods. Pertinent data are given below. for existing Cold Room: for new Cold Room: Investment P580, 000.00 P1,025, 000.00 Life 5 years remaining 12 years Salvage Value P20,600.00 P25,000.00 Variable Cost P232,000.00 P35,000.00 per year Which is profitable if money is worth 10%?
Mr. Adamson is planning to acquire a new Cold Room to replace its existing unit which they use to preserve their goods. Pertinent data are given below.
for existing Cold Room: for new Cold Room:
Investment P580, 000.00 P1,025, 000.00
Life 5 years remaining 12 years
Salvage Value P20,600.00 P25,000.00
Variable Cost P232,000.00 P35,000.00 per year
Which is profitable if money is worth 10%?
Step by step
Solved in 4 steps