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Using the following information, determine the fixed and operating costs for a hydraulic excavator. Delivered cost - $172,000 Horsepower rating - 245 hp Salvage value
Using the following information, determine the fixed and operating costs for a hydraulic excavator. Delivered cost - $172,000 Horsepower rating - 245 hp Salvage value - 10% Useful life - 8 years, use 12,800 hours Total interest - 6.5% Length of loan - 8 years Total insurance, taxes and storage - 4.5% per year Fuel cost - $4.15/gallon Fuel consumption rate -.04 gallons per hp per hour Power utilization - 60% Use factor - 50 minutes per hour Lubrication - 7 quarts of oil at $4.50/quart Oiler labor - 2.9 hours at $31.25 per hour Lubrication schedule - every 150 hours Repairs to equipment - 75% over the useful life
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