Merrill Painting Contractors noeds to purchase a new truck. The owner is considening two diflerent truck modets that are carrently on the market. Merriirs two alternatives are presented below (Click the icon to view the fwo alhornatives) (Click the icon to view the Future Value of $1 tablo.) (Cick the icon to view the Present Value of $1 table) (Click the icon to viow the Future Value of an Ordinary Annuity table) (Click the icon to view the Present Value of an Ordinary Aninuity table) (Click the Requirement Which truck she value tables, th rounded to five More info IruckA Merril can purchaso Truck A for $43,000. The truck has a useful life of 15 years and will require annual maintenance costs of $1,100 each year Merrill expects to sell the truck for 54,000 after 15 years. Truck B. Merrit can purchase Truck B for $41,000, This truck also has a useful lie of 15 years but will have no scrap value If wall require maintenance costis every five years at follows: Yeat 5.$2,200 Year 10$4,400 Yeat 15:$6,400 the Present Value of an Annuily Due table.) s wall be paid at year-end. (Use the present value and future e value tables or the formula method, use factor arnounts 7 cent, 5 ) Merril Painting Contractors needs to purchase a new trock. The owner is considering two diflecent truck modela that are currently on the market Merrirs two alternatives are preserted botow (Cick the icon to view the tro alhernatives) (Click the icon to view the Future Value of $1 table) (Click the icon to view the Future Value of an Ordinary Annuity table) (Ciick the Requirement Which truck sho vake tables, th rounded to five Begin by compd The present val (CSick the icon to view the Prosent Value of $1 tablo) (Click the icon to vlow the Present Value of an Ondinary Avinully table) More info Truck. Mernit can purchase Truck A for $43,000 : The truck has a usetul life of 15 yoars and will require annual maintenance costs of $1.100 each year Merili expects to sell the trick for $4,000 after 15 years. Truck B. Menil can parchase Truck 8 for $41,000 This truck also has a useful life of 15 years but will have no scrap value it wil require maintenance costs every five years as follows. Yeat 5: $2.200 Year 10$4,400 Year 15$6,400 the Present Value of an Anruily Due table ) s wall be paid at year end (Use the presant value and future b value tables or the formula method, use factor amounts t cent, 5 ) Merril Painting Contractors needs to purchase a new truck. The ownet is considering two different truck models that are currently on the market. Mernir's two alternatives are presented below Rec Which truck should Merril purchase given an interest rate of 5%, compounded annualiy? Assume that maintenance costs will be paid at year end (Use, the present value and future value tablos, the formula method, a financlal calculator, or a spreadsheet for your calculations. If using present and future value tables or the formula mechod, use factor amounts rounded to five decimal places, X XocoOX. Round htermediary currency calculations and yout final arswer to the nearest cent, 5 ) Begin by computing the present valse of Truck A The present valie of the first alternutive (Truck A) is
