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please solve the following questions clearly and neatly. thank you. 1. Determine the probable average cost per hour over the life of the equipment for

please solve the following questions clearly and neatly. thank you. image text in transcribed
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1. Determine the probable average cost per hour over the life of the equipment for owning & operating a wheel loader under the conditions listed below. Use the straight-line method of depreciation. Operator cost: $20/hr. Operating conditions: Average Delivered price: $70,000 Cost of a set of tires: $4,000 Expected life: 5 years Hours operated: 2,000 hrs./year salvage value: 32,000 Fuel cost: $3.00/gal horsepower: 120 hp Rate for interest, tax, insurance, & storage: 15% 2A. Calculate the depreciation of a Caterpillar 428C Backhoe/Loader utilizing SL, SOYD, DDB, and MACRS methods. Data: Book Value (BV): $100,000 Salvage Value (SV): $10,000 Life of Equipment: 5 years 2B. Comparing the outcome of the 4 methods, which method would you utilize to depreciate this equipment and why? 1. Determine the probable average cost per hour over the life of the equipment for owning & operating a wheel loader under the conditions listed below. Use the straight-line method of depreciation. Operator cost: $20/hr. Operating conditions: Average Delivered price: $70,000 Cost of a set of tires: $4,000 Expected life: 5 years Hours operated: 2,000 hrs./year salvage value: 32,000 Fuel cost: $3.00/gal horsepower: 120 hp Rate for interest, tax, insurance, & storage: 15% 2A. Calculate the depreciation of a Caterpillar 428C Backhoe/Loader utilizing SL, SOYD, DDB, and MACRS methods. Data: Book Value (BV): $100,000 Salvage Value (SV): $10,000 Life of Equipment: 5 years 2B. Comparing the outcome of the 4 methods, which method would you utilize to depreciate this equipment and why

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