Question
Prime City Utilities would like to set up a utilities distribution system at a cost of $1.5 million which is expected to last for 30
Prime City Utilities would like to set up a utilities distribution system at a cost of $1.5 million which is expected to last for 30 years. The system is needed indefinitely. What is the capitalized cost for the project assuming an interest rate of 4% per year?
| $1.265 million | ||
| $1.568 million | ||
| $1.954 million | ||
| $2.169 million |
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Cost Accounting Planning And Control
Authors: Adolph Matz, Milton F. Usry
10th Edition
0538809256, 978-0538809252
