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2. You have just bought a new pusher dozer for $120,000. Annual operation costs are $30 000, you need to replace tracks at end of
2. You have just bought a new pusher dozer for $120,000. Annual operation costs are $30 000, you need to replace tracks at end of year 2 and 5 for $20 000, major overhaul at the end of year 4 is $18 000 and you want to sell at the end of year six (salvage value) for $12,000. (Assume interest is 10%) 30 Marks A) (5 Marks) Draw a cash flow B) (25 Marks) Compute the recovery of the cost of the purchase and operation over the given lifespan
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