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Also what is the present value of the annual profit? What is the present value of the salvage value? What is the net present value?

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Also what is the present value of the annual profit?

What is the present value of the salvage value?

What is the net present value?

Should you purchase the truck?

wur w prom margin. 17. Your company is looking at purchasing a dump truck at a cost of $65,000. The truck would have a useful life of five years. At the end of the fifth year the salvage value is estimated to be $10,000. The dump truck could be billed out at $68.00 per hour and costs $13.00 per hour to operate. The operator costs $35.00 per hour. Using 1,000 billable hours per year, determine the NPV for the purchase of the dump truck using a MARR of 18%. Should your company purchase the dump truck

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