Intro You currently don't have a car, but rent a car that's parked just outside your house whenever you need one. Your annual expenditure on rental cars is $2,500. You are now considering purchasing a car that would give you the same level of convenience as your current life style. The car costs $27,000 and can be sold for $5,000 after 10 years. You'd purchase the car with money from your savings account which always earns an interest rate of 6%. Assume that all cash flows occur at the end of each year (maybe because you drive much more around Thanksgiving and Christmas). Part 1 1 Attempt 1/5 for 10 pts. What is the present value of the benefits of owning that car, i.e., saving on rental expenses and selling the car? Part 2 Attempt 1/5 for 10pts Should you buy the car? No Yes