A company is considering the purchase of a fleet of 44 ton pickup trucks for their contracting business. The owner is trying to decide whether to purchase the trucks with diesel or gas engines. The company specifies an internal rate of return on equipment purchases of 6%. The owner estimates the following cash flows of costs for a gas and diesel equipped truck. What is the EUAC of the Diesel Truck? Year ol Gas Purchase & Fuel Maintain $30,000 $250 $6,750 $300 $6,750 $350 $6,750 $400 $6,750 1 2 Diesel Purchase & Fuel Maintain $39,000 $500 $5,000 $1,000 $5,000 $1,500 $5,000 $2,000 $5,000 $2,500 $5,000 $3,000 $5,000 $3,500 $5,000 $4,000 $5,000 3 4 5 6 7 8 Note: no need to find the common useful life when using EUAC. A company is considering the purchase of a fleet of 4 ton pickup trucks for their contracting business. The owner is trying to decide whether to purchase the trucks with diesel or gas engines. The company specifies an internal rate of return on equipment purchases of 6% . The owner estimates the following cash flows of costs for a gas and diesel equipped truck. What is the EUAC of the Gas Truck? Year 0 Gas Purchase & Fuel Maintain $30,000 $250 $6,750 $300 $6,750 $350 $6,750 $400 $6,750 1 2 Diesel Purchase & Fuel Maintain $39,000 $500 $5,000 $1,000 $5,000 $1,500 $5,000 $2,000 $5,000 $2,500 $5,000 $3,000 $5,000 $3,500 $5,000 $4,000 $5,000 3 4 5 6 7 8 Note: no need to find the common useful life when using EUAC. A company is considering the purchase of a fleet of 34 ton pickup trucks for their contracting business. The owner is trying to decide whether to purchase the trucks with diesel or gas engines. The company specifies an internal rate of return on equipment purchases of 6% . The owner estimates the following cash flows of costs for a gas and diesel equipped truck. Which option should be selected? Year 0 1 2 Gas Diesel Purchase Purchase & Fuel & Fuel Maintain Maintain $30,000 $39,000 $250 $6,750 $500 $5,000 $300 $6,750 $1,000 $5,000 $350 $6,750 $1,500 $5,000 $400 $6,750 $2,000 $5,000 $2,500 $5,000 $3,000 $5,000 $3,500 $5,000 $4,000 $5,000 3 4 5 6 7 8 Gas Truck O Diesel Truck