nstruction: Show complete solution including the cash flow diagram if not given,Formula function, Formula, Values of factors upto 4 decimal digits, Final answer is box and rounded to 2 decimal places and Recommendation is Boxed. A business owner invest $25600 in purchasing a delivery car to cater more customers and reduce delivery time. This will incur operating expenses of $0.72 per kilometer for every 400 kilometers per month the annual maintenance expense will be a uniform gradient amount of $240 which will begin at the end of the first year. Determine the Equivalent Uniform Annual Cost of the newly purchased car if interest is 12% and will be worth $11000 at the end of 5 year service life ? Express your answer as a monthly cost.
nstruction: Show complete solution including the cash flow diagram if not given,Formula function, Formula, Values of factors upto 4 decimal digits, Final answer is box and rounded to 2 decimal places and Recommendation is Boxed. A business owner invest $25600 in purchasing a delivery car to cater more customers and reduce delivery time. This will incur operating expenses of $0.72 per kilometer for every 400 kilometers per month the annual maintenance expense will be a uniform gradient amount of $240 which will begin at the end of the first year. Determine the Equivalent Uniform Annual Cost of the newly purchased car if interest is 12% and will be worth $11000 at the end of 5 year service life ? Express your answer as a monthly cost.
Excel Applications for Accounting Principles
4th Edition
ISBN:9781111581565
Author:Gaylord N. Smith
Publisher:Gaylord N. Smith
Chapter21: Cash Budgeting (cashbud)
Section: Chapter Questions
Problem 5R: The following four suggestions have been made to improve the company’s cash position. Evaluate the...
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Instruction: Show complete solution including the cash flow diagram if not given,Formula function, Formula, Values of factors upto 4 decimal digits, Final answer is box and rounded to 2 decimal places and Recommendation is Boxed.
A business owner invest $25600 in purchasing a delivery car to cater more customers and reduce delivery time. This will incur operating expenses of $0.72 per kilometer for every 400 kilometers per month the annual maintenance expense will be a uniform gradient amount of $240 which will begin at the end of the first year. Determine the Equivalent Uniform Annual Cost of the newly purchased car if interest is 12% and will be worth $11000 at the end of 5 year service life ? Express your answer as a monthly cost.
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