Question

1.

a. One tractor to be considered is an International Harvestor. It has an initial cost of $30,000 and an annual maintenance of 175 with a salvage value of $10,000. It's useful life in years is 18. What is the value/cost closest to the annual worth of the International Harvestor tractor using an interest rate of 10%?

b. One tractor to be considered is an International Harvestor. It has an initial cost of $34,000 and an annual maintenance of 175 with a salvage value of $12,000. It's useful life in years is 18. What is the value/cost closest to the annual worth of the International Harvestor tractor using an interest rate of 10%?

c. A college student has been looking for tires and has found the following:Tire Warranty for a Cooper tire is 12 months at a price per tire of $59.95. What is MONTHLY worth/cost of one tire if we consider annual interest rates are at 10%?

d. A college student has been looking for tires and has found the following:Tire Warranty for a Michelin tire is 6 months at a price per tire of $31.59. What is MONTHLY worth/cost of one tire if we consider annual interest rates are at 10%?

e. A college student has been looking for tires and has found the following:Tire Warranty for a Firestone tire is 18 months at a price per tire of $39.99. What is MONTHLY worth/cost of one tire if we consider annual interest rates are at 10%?

f. A college student has been looking for tires and has found the following:Tire Warranty for a Goodyear tire at 48 months at a price per tire of $90. What is MONTHLY worth/cost of one tire if we consider annual interest rates are at 10%?

g. A sum of $25,000 is deposited into a savings account, which pays a yearly nominal 4% interest compounded semiannually. Equal annual withdrawals are to be made from the account, beginning 1 year from now and continuing forever. The maximum amount that can be withdrawn at the end of each year is closest to ____________.