A property has a replacement cost new of $350,000. It has an effective age of 20 years and a total expected economic life of 65 years. There are curable items totaling $45,000. If they are cured, it will reduce the effective age to 15 years. What is the value of the building on a modified age-life basis

$234,606

Explanation:

actual replacement cost = $350,000

effective age = 20 years

total economic life = 65 years

years left = 65 - 20 = 45 years

curable items = $45,000 ⇒ effective age 15 years

value of the property using modified age-life basis = (replacement cost - curable items) x (effective age / total economic life)

= ($350,000 - $45,000) - (15 years / 65 years) = $305,000 - 23.08% = $234,606

On of the very basic measures, Travis must do in order to avoid workplace hazards is to perform safety precautions before working. These safety precautions basically involve the use of safety goggles. The safety goggles would provide protection of the eye against chemicals that might spill.