Kristen Lu purchased a used automobile for $36,050 at the beginning of last year and incurred the following operating costs:

Depreciation ($36,050 5 years)	$	7,210
Insurance	$	3,800
Garage rent	$	2,000
Automobile tax and license	$	990
Variable operating cost	$	0.14	per mile

The variable operating cost consists of gasoline, oil, tires, maintenance, and repairs. Kristen estimates that, at her current rate of usage, the car will have zero resale value in five years, so the annual straight-line depreciation is $7,210. The car is kept in a garage for a monthly fee.