Question
2. A telecom company is planning to purchase equipment and to cover its cost, it deposits annual savings of 20,000 dinars for a period of
2. A telecom company is planning to purchase equipment and to cover its cost, it deposits annual savings of 20,000 dinars for a period of 10 years and obtains a resale value of 50,000 dinars at the end of that period. Assume that the interest rate is 9% and that savings are realized at the end of the year. Determine the present value of an investment in equipment (cost)?
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Fundamentals Of Oil And Gas Accounting
Authors: Rebecca A. Gallun, Ph.D. Wright, Charlotte J, Linda M. Nichols, John W. Stevenson
4th Edition
0878147934, 9780878147939
