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Ateneo Engineering School bought a 20hp power generator and plans to utilize it as an energy backup. The said equipment amounts to Php 1,500,000. Installation and M80 costs made to further enhance the efficiency of the equipment amounted to Php300,000.7hey plan to use the power generator for 25 years before they will sell it to interested buyers for a lump sum amount of Php 300,000. (a)Determine the depreciation charge and the book value of the generator during the 21^ year of its service. (b)Determine the book value on the 7" year if sinking fund method is used with an interest rate of 15%. (c) Find the total depreciation accumulated on its 13. year using declining balance method. (d) Find the depreciation charge on the half of its service using double declining balance method. (e) Find the book value of the equipment horn the final 5 years of its service using SOD method.

Ateneo Engineering School bought a 20hp power generator and plans to utilize it as an energy backup. The said equipment amounts to Php 1,500,000. Installation and m&o costs made to further enhance the efficiency of the equipment amounted to Php 300,000. They plan to use the power generator for 25 years before they will sell it to interested buyers for a lump sum amount of Php 300,000. (a) Determine the depreciation charge and the book value of the generator during the 21st year of its service. (b) Determine the book value on the 7th year if sinking fund method is used with an interest rate of 15%. (c) Find the total depreciation accumulated on its 13th year using declining balance method. (d) Find the depreciation charge on the half of its service using double declining balance method. (e) Find the book value of the equipment from the final 5 years of its service using Syd method

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