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Calculations | ||||||||
Amount $ | ||||||||
Particulars | Y0 | Y1 | Y2 | Y3 | Y4 | Total | Note | |
Vehicle Cost | 18,000.00 | - | - | - | - | 18,000.00 | A | |
Operating Expenses | - | 3,150.00 | 3,213.00 | 3,277.26 | 3,342.81 | 12,983.07 | B | Inflation rate is 2% so Operating Expenses will increase by 2% every year. |
Additional cost | - | - | 1,000.00 | - | - | 1,000.00 | C | |
Trade in Value | - | - | - | - | (7,800.00) | (7,800.00) | D | |
Net costs | 18,000.00 | 3,150.00 | 4,213.00 | 3,277.26 | (4,457.19) | 24,183.07 | E=A+B+C+D | |
PV Factor @ 10% | 1.00 | 0.9091 | 0.8264 | 0.7513 | 0.6830 | F | ||
Present Value | 18,000.00 | 2,863.67 | 3,481.62 | 2,462.21 | (3,044.26) | 23,763.23 | G=E*F | |
Total cost of owning vehicle is | 23,763.23 | See G | ||||||
Annual equivalent cost of owning vehicle | 5,940.81 | H=G/4 | ||||||
economics q. solve in 30 mins for thumbs up rating. be clear and show steps. A...
Economics question, show steps and be clear
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A new oil pump costs $8,500 and has no salvage value once installed. The manufacturer's warranty will pay the 1st year maintenance and repair costs. In the 2nd year, costs will be $900, and they will increase on a $900 arithmetic gradient in subsequent years. Also operating expenses for the pump will be $500 the first year and will increase on a $200 arithmetic gradient...
Economics question, show steps and be clear
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Economics question, show steps and be clear
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" Engineering Economics "
510,40 Ann would like to start with a deposit of $1,000 at the end of the first year and increase it every year by $400 thereafter. What interest should she get to be able to retire as desired? A) 11.16% B) 12.29% C) 13.89% D) 14.98% Isabel, a recent graduate, would like to be a millionaire when she will retire after 30 years....
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