San Jose Builders imported a backhoe for his job, paying P2,500,000.00 to the manufacturer. Freight and insurance charges amounted to P80,000.00; customs broker's fee and arrastre services is...

San Jose Builders imported a backhoe for his job, paying P2,500,000.00 to the manufacturer. Freight and insurance charges amounted to P80,000.00; customs broker's fee and arrastre services is P50,000.00; taxes, permits, and other expenses , P60,000.00. If San Jose Builders estimates the life of the backhoe to be 10 years with a salvage value of P600,000.00, determine the book value at the end of 6 years using sinking fund formula at 8%.