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Your truck has a market value of $64,100. You can sell it to your brother, who agreed to buy it now and pay $80,400three years
Your truck has a market value of $64,100. You can sell it to your brother, who agreed to buy it now and pay $80,400three years from now, or you can sell it to your cousin who agreed to pay you $69,900at the end of the year. To whom should you sell the truck if your cost of capital is8percent?(Enter negative amounts using either a negative sign preceding the number e.g. -45 or parentheses e.g. (45). Round answers to 2 decimal places, e.g. 25.25.)
NPV, brother:
NPV, cousin:
You should sell the truck to your:
brother
cousin
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