Part of cost estimated

The following information is for a loader. Calculate the owning and operating costs. Determine whether it is better to buy or rent equipment by comparing cost in both cases. Assumptions: Actual cost (delivered)-$65400 Horsepower rating-210 hp Cost of tires-$3500 Salvage or scrap value -$12500 Useful life-8 years or 16,000 hours Total interest-10 percent per year Length of loan-5 years Total insurance,taxes, and storage-7 percent per year Fuel cost $2.1 per gallon Consumption rate-0.08 gallons per hp per hour Power utilization-65 percent Use factor-68 percent Lubrication- 6 quarts oil at $2.25 Oiler labor-3 hours labor at $18.50 Lubrication schedule-every 200 hours Life of tires-3700 hours Repair to tires-8 percent of depreciation Repairs to equipment-46 percent over useful life Rental cost for loader-$9.82 per equipment work hour The following information is for a loader. Calculate the owning and operating costs. Determine whether it is better to buy or rent equipment by comparing cost in both cases. Assumptions: Actual cost (delivered)-$65400 Horsepower rating-210 hp Cost of tires-$3500 Salvage or scrap value -$12500 Useful life-8 years or 16,000 hours Total interest-10 percent per year Length of loan-5 years Total insurance,taxes, and storage-7 percent per year Fuel cost $2.1 per gallon Consumption rate-0.08 gallons per hp per hour Power utilization-65 percent Use factor-68 percent Lubrication- 6 quarts oil at $2.25 Oiler labor-3 hours labor at $18.50 Lubrication schedule-every 200 hours Life of tires-3700 hours Repair to tires-8 percent of depreciation Repairs to equipment-46 percent over useful life Rental cost for loader-$9.82 per equipment work hour