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Student Services Inc. provides local rides to 150 students for an annual membership fee. The company purchases a van for $40000 with a maintenance cost
Student Services Inc. provides local rides to 150 students for an annual membership fee. The company purchases a van for $40000 with a maintenance cost of $3000 in the first year rising by $700 per year thereafter. The company plans to keep the van for 5 years and estimates a salvage value of $8000. The CCA rate for the van is 20%, the after tax capital cost is 10% and the company pays a tax rate of 35%. What is the minimum after tax annual membership fees the company should charge each student in order to cover their van costs? DO NOT ENTER AS A NEGATIVE NUMBER. Round your final answer to the nearest whole number (integer). Round interim calculations to 4 decimal points. Do not include any dollar signs, percentage % signs, commas, decimal places and/or spaces in your answer. Your answer should only include numbers. For example, if the correct answer is 1021, you should enter 1021 as your answer. If you enter $1021 or 1,021 or $1,021 or 1 021 or $1021.00, your answer will be marked wrong. Your
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