1. ABC company purchased an equipment for P54.000 on 1980. Installation cost amounting to P6,000. The equipment are expected to have a useful life at the end of 1996 with a salvage value of 10% of the original cost. Determine the book value at the end of 1992 by; Straight-line method a. P 19.000 b. P 19.500 C. P 20.000 d. P 20,500 Sinking fund method at 12% interest. a. P 27.354 c. P 29.520 b. P 30,333 d. P 41,200

2. A Construction form bought one (1) unit Luffer type 50 Tons capacity tower crane and one(1) unit twin cage hoist elevator for their high rise building project for P 6,000,000. Freight and installation cost amounted to 3% of the original price. If the equipment shall be depreciated over a period of 20 years at a salvage value of 5%. What is the book value at the end of 13 years using the following method:

Declining balance method

a. P 881,696.22

b. P 810,135.12

C. P 918,520

d. P 741,200.08

Double declining balance method

a. P 1,427,354

b. P1,430,455

C. P 1,570,873

d. P 1,415,200

Sinking fund method at 12% interest

a. P 3,727,354

b. P 3,950,558

c. P 3,896,123

d. P 401.200

SYD method

a. P 1,091,800

b. P1, 123,215

c. P 1,290,520

d. P1,141,200