Vibrations Dynamics uses vibrations sensitiveequipment

Chapter 17, Problem 17.28

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Vibrations Dynamics uses vibrations sensitiveequipment based on lithography to measurevibrations in building foundations caused bysubway, rail, and automobile traffic in major citiesof the world. Use a spreadsheet to (a) plot theannual tax curves, and (b) calculate total taxes andthe PWtax values at i = 8% per year over an 8-yearstudy period for two depreciation methods: SLwith n = 6 years and DDB with n = 8 years.Comment on your total tax and PWtax results.(Note: Neglect any tax effects connected with thesalvage value.) The estimates are: P = $200,000, B = $280,000, S = 20% of P, CFBT= $100,000 per year, Te = 30%.

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