Examples: 1. Determine the capitalized cost of a research laboratory which requires Php 5,000,000 for original construction, Php 100,000 at the end of every year for the first 6 years and then Php 120,000 each year thereafter for operating expenses and Php 500, 000 every 5 years for replacement of equipment with interest at 12% per annum? Php 6,753,650