4. 9.34 To determine the economic service life, you must calculate the AW for each year of an asset’s useful life. Max just bought an old pickup truck for $10,000. If estimated operating costs and year-end salvage values are as shown, and i = 10% per year, the AW for keeping the truck for 2 years is closest to: 1. $−4475 2. $−4560 3. $−4728 4. $−4933 Table Summary: A table divided into 3 columns summarizes the estimated operating costs and year-end salvage values for years 1 through 5 for an equipment. The column headers are marked as: Year; Operating Cost in dollars; and Salvage Value in dollars.

Year OperatingCosts, $ SalvageValue, $ 1 −1000 7000 2 −1200 5000 3 −1500 4200 4 −2000 3000 5 −3000 2000 Page 300