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5. The IE Department is considering to buy a printing machine that is expected to be obsolete in 5 years. The machine is worth P100,000.

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5. The IE Department is considering to buy a printing machine that is expected to be obsolete in 5 years. The machine is worth P100,000. The prevailing interest rate is 15%/year. the estimated annual gross incomes from the use of this machine is as follows: Year Income 1 P 20, 000 2 P 25, 000 3 P 35, 000 4 P 30, 000 P 28, 000 Should the IE Department purchase the machine

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