6. 5.6 Eight years ago, Ohio Valley Trucking purchased a large-capacity dump truck for $115,000 to provide

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6. 5.6 Eight years ago, Ohio Valley Trucking purchased a large-capacity dump truck for $115,000 to provide short-haul earth-moving services.

The company sold it today for $45,000. Operating and maintenance costs averaged $10,500 per year. A complete overhaul at the end of year 4 cost an extra $3600.

(a) Calculate the annual cost of the truck at i = 8% per year.

(b) (Spreadsheet exercise) Write a single-cell function to display the annual cost.

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Related Book For  book-img-for-question

Basics Of Engineering Economy

ISBN: 9781259683312

3rd Edition

Authors: Leland T. Blank, Anthony Tarquin

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