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20. A contractor must decide between two types of lorry for use in his transport fleet. Type A has an initial cost of GH1,500,000 with
20. A contractor must decide between two types of lorry for use in his transport fleet. Type A has an initial cost of GH1,500,000 with a resale value at the end of five years of GH300,000. Type B has an initial cost of GH1,800,000 with a resale value at the end of six years of GH400,000. Annual maintenance and fuel costs are similar for both vehicles. Which is the better investment if the interest is at 5%
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