Key Question #10 (con't) 6. Determine the resale value of a 4-year old vehicle with an MSRP of $21 300 and an annual depreciation rate of 18%. 7 . Eric wants to sell his 3-year old car. The car had an MSRP of $35 450. Eric knows that the average annual depreciation of the make and model of his car is 23%. He does not want to sell it for less than $25 000. Is this realistic? Explain your reasoning. 8. Determine the cost to drive each distance at the given fuel consumption rating and average cost of fuel. a. 22 000 km at 7.1 L/100 km and $0.88/L b. 49 900 km at 5.8 L/100 km and 97.3c/L 9. The Gather's have 2 cars. Last year, one car was driven about 13 500 km and has a fuel consumption rating of 8.1L/100 km and 55 625 km was put on the other car which has a fuel consumption rating of 6.3L/100 km. The average cost of fuel during the year was $0.87/L. Using the following maintenance table, determine how much the Gather's spent on all relevant variable costs last year. Recommended Service Frequency Approximate (km) cost ($) Lube, oil, filter 5000 29.99 Tire rotation and brake inspection 10 000 34.50 Wheel alignment inspection 25 000 64.99 Tune-up and emission control 50 000 250.00 Cooling system 50 000 84.95 Brakes replaced 50 000 355.00 Copyright @ 2007, Durham Continuing Education Page 37 of 42