The First cost of a passenger bus is 800,000. Its estimated life is 4 years with no salvage value. The operating cost per year of 300 days of operation are as follows: Tires, 24,000; gasoline, 60 liters per day at 15 per liter; Oil, 80 per day; maintenance and repair, 40,000; labor 800 per day; miscellaneous expense, 18,000; depreciation, sinking fund at 10%. If the average passenger fare is 3.50 for each passenger one way and expected profit or return is 15% determine the minimum average number of passengers that should be transported each day. Use the AW method and Future worth method.

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