Chap $12$ Homework

deciding to buy a new car. Currently have a gas car with $100,000$ miles thinking of buying an electric car and selling the current car

Electric car would cost $$40,000.$ consider that cash out day $1$ Old car would sell for $$8,000.$ sell it at the end of year $2$ Estimate new electric car would last $8$ years and save $7,000$ per year in gas and maintenance There would be some major maintenance on the electric car $$4,000$ year $4$

At the end of year $8$ we could sell the electric car for $$7,000.$ discount rate $10\%$

Calculate Net Present Value of buying the new car

Set up the little table like we did on the Chap $12$ examples