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Hybrid cars arc touted as a green alternative; however, the financial aspects of hybrid ownership are not as clear. Consider a 2015 Lexus RX 450h,

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Hybrid cars arc touted as a "green" alternative; however, the financial aspects of hybrid ownership are not as clear. Consider a 2015 Lexus RX 450h, which had a list price of S5.545 (including tax consequences) more than a Lexus RX 350. Additionally, the annual ownership costs (other than fuel) for the hybrid were expected to be S260 more than the traditional sedan. The mileage estimate was 5.2 litre/100 km for the hybrid and 6.9 for the traditional sedan. Assume that gasoline costs SI.55 per litre and you plan to keep either car for six years. How many kilometres per year would you need to drive to make the decision to buy the hybrid worthwhile, ignoring the time value of money? (Do not round intermediate calculations. Round the final answer to nearest whole number.) Kilometers per year If you drive 14, 600 km per year and keep either car for six years, what price per litre would make the decision to buy the hybrid worthwhile, ignoring the time value of money? (Do not round intermediate calculations. Round the final answer to 2 decimal places.) Price per litre Gasoline costs $1.55 per litre and you plan to keep cither car for six years. How many kilometres per year would you need to drive to make the decision to buy the hybrid worthwhile? Assume the appropriate interest rate is 12 percent and all cash flows occur at the end of the year. (Do not round intermediate calculations. Round the final answer to the nearest whole number.) Kilometres per year If you drive 14, 600 kilometres per year and keep cither car for six years, w hat price per litre would make the decision to buy the hybrid worthwhile? Assume the appropriate interest rate is 12 percent and all cash flows occur at the end of the year. (Do not round intermediate calculations. Round the final answer to 2 decimal places.) Price per litre $

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