![A furnace installed at a cost of Rs. 24 Lakh is expected to serve its useful life of 5 years. Salvage value of the furnace is Rs. 8 Lakh](https://www.gkseries.com/blog/wp-content/uploads/2023/09/A-furnace-installed-at-a-cost-of-Rs.-24-Lakh-is-expected-to-serve-its-useful-life-of-5-years.-Salvage-value-of-the-furnace-is-Rs.-8-Lakh.jpg)
Q. A furnace installed at a cost of Rs. 24 Lakh is expected to serve its useful life of 5 years. Salvage value of the furnace is Rs. 8 Lakh. The interest rate compounded annually is 8%. The estimated capitalized cost (in Lakhs of rupees) is
(A) 30 (B) 34.09 (C) 34.9 (D) 58.09
Ans: 58.09