John's 8-year-old Chevrolet Trail Blazer requires repairs estimated at $11,000 to make it roadworthy again. His wife, Sherry, suggested that he should buy a 5-year-old used Jeep

Grand Cherokee instead for $11,000 cash. Sherry estimated the following costs for the two cars:

Trail Blazer

$25,000

$11,000

Grand Cherokee

$11,000

$2580

$1900

Acquisition cost

Repairs

Annual operating costs

(Gas, maintenance, insurance)

The cost NOT relevant for this decision is the

O repairs to the Trail Blazer

C

acquisition cost of the Trail Blazer

C

acquisition cost of the Grand Cherokee

O annual operating costs of the Grand Cherokee

John's 8-year-old Chevrolet Trail Blazer requires repairs estimated at $11,000 to make it roadworthy again. His wife, Sherry, suggested that he should buy a 5-year-old used Jeep Grand Cherokee instead for $11,000 cash. Sherry estimated the following costs for the two cars Acquistion cost Trail Blazer Grand Cherokee $11,000 $25,000 Repaire $11,000 Annual operating costs (Gas, maintenance, insurance) $2580 $1900 The cost NOT relevant for this decision is the O repairs to the Trail Blazer O acquisition cost of the Trail Blazer O acquisition cost of the Grand Cherokee O annual operating costs of the Grand Cherokee