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XYZ Construction Inc. wants to purchase a new pick-up truck. The price for the new truck is $46,463. The dealer allows XYZ to trade-in the

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XYZ Construction Inc. wants to purchase a new pick-up truck. The price for the new truck is $46,463. The dealer allows XYZ to trade-in the old truck for $5,533. XYZ can payback the remaining balance through a 4 -year payment plan. Given the agreed interest rate is 3% : How much is the monthly payment? Question 2 2 pts If XYZ can only pay $820 monthly, and the dealer does not accept trade-in, given 3% interest rate, how much of the new pick-up truck canXYZ afford? Question 3 5 pts On second thoughts, XYZ decides to keep the old truck. They can choose to retrofit it or not. The retrofit will cost $2.289. After the retrofit, the annual fuel and On second thoughts, XYZ decides to keep the old truck. They can choose to retrofit it or not. The retrofit will cost $2,289. After the retrofit, the annual fuel and maintenance cost will be $615 for the first year and increases by $120 each year. XYZ 's minimum attractive rate of return is 4%. If XYZ will get rid of the old truck in six years, what is the total present cost of retrofit? Question 4 5 pts Without the retrofit, the annual fuel and maintenance cost will be $2,168 for the first year and increases at a rate of 6% each year. If XYZ will get rid of the old truck in six years, what is the total present cost of not retrofit

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