A young entrepreneur wanted to open a small laundry shop. An investment of P280,613 is needed for a laundry shop that will produce a uniform annual income. This laundry shop is operating daily (assuming 26 days a month) for 6 years and then have a salvage value of 12% of the investment. Its operating and maintenance cost will be P75,482 per year. Taxes and insurance will be 3% of the first cost per year. The company expects capital to earn not less than 20% before income taxes.