Question text

You are working for a shipping company and consider buying a new truck. The price of the truck is EUR 36,00036,000 . Maintenance cost are EUR 328328 per year. Annual Fuel cost are estimated to be EUR 1,8821,882 and the insurance premium for the truck will be EUR 9898 per year. The truck is going to be used for the next 5 years. You are unsure about the revenue prospects and have identified two scenarios.

Scenario	t=1	t=2	t=3	t=4	t=5
Good	16,00016,000	20,00020,000	19,00019,000	16,00016,000	22,00022,000
Bad	13,00013,000	8,0008,000	11,00011,000	9,0009,000	10,00010,000

The chance for the good scenario to realize is 3030 %. What are the expected cash flows of the truck over the next 5 years?

Select one:

a. 36000,692,9692,5692,4692,969236000,692,9692,5692,4692,9692

b. 33692,692,9692,5692,4692,969233692,692,9692,5692,4692,9692

c. 36000,11592,9292,11092,8792,1129236000,11592,9292,11092,8792,11292

d. 36000,2492,3692,3392,2492,429236000,2492,3692,3392,2492,4292

e. 33692,11592,9292,11092,8792,11292