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- Q7. Amanda started a home delivery cafe and need to buy a motorcycle for delivery orders. She has two models in mind. Model A is a Hyundai, costs $9000 and with an expected life of 6 years; model B is a Toyota, costing $14 000 and with an expected life of 10 years. The maintenance costs are $800 for model A and $700 for model B annually. Assume that the opportunity cost of capital is 10 per cent. Which one should Amandabuy using:.A) the NPV perpetuity method and B)the EAC method?There is a choice to buy a car worth $32,000 with 100% financing at 3.99% APR for 60 month or lease at $500 per month. The car will need maintenance in the 3rd year worth $525 and $825 in the 4th year. The car will have 30% residual value in the 5th year. Sales tax on new car is 6% and required rate of return is 5%. calculate the cost of Owning this car in year 4.There is a choice to buy a car worth $28,000 with 100% financing at 4.99% APR for 60 month or lease at $450 per month. The car will need maintenance in the 3rd year worth $525 and $825 in the 4th year. The car will have 35% residual value in the 5th year. Sales tax on new car is 6% and required rate of return is 5%. calculate the Ownership Operating Advantage in year 1. $8861 ($939) ($1764) ($1464)
- If you purchase a car from a certain dealership, you expect to have four free oil changes per year during the five years you keep the car. Each oil change would normally cost you $24.96. If you save your money in a mutual fund earning4.78% per quarter, how much are the oil changes worth to you at the time you buy the car?" A. 457.13 B. 253.98 C. 631.35 D. 796.42 E. 440.74Sandy wants to buy a car that costs $28,750. The dealership will finance the car for 4 years, at 5.95%, with a 25% down-payment. Calculate Sandy’s monthly payment. N= FV= I%= P/Y= PV= C/Y= PMT= End or Begin $674.54 $505.90 $873.98 $7,187.50Linda Baer has already saved $4 comma 3134,313 to buy a used vehicle. Ignoring taxes and assuming her money is invested in a money market account earning 44 percent compounded annually, how long will it take to buy a car that costs $6 comma 9056,905? Question content area bottom Part 1 Click on the table icon to view the FVIF table: LOADING... . Ignoring taxes and assuming her money is invested in a money market account earning 44% compounded annually, to save the money to buy a car that costs $6 comma 9056,905 will take enter your response here years. (Round to the nearest integer.)
- 1. You bought a new car for $42000. Assume the value of the car depreciates by 17% each year. complete the table Age of the Car in years Calculation Value 0 N/A 42000 1 42000*0.83 2 3 4 ... N/A N/A 10 b. Use the table to find a pattern and develop a formula to model the V= value of the car, after n years. c. linear or not linear?"If you purchase a car from a certain dealership, you expect to have four free oil changes per year during the five years you keep the car. Each oil change would normally cost you $22.58. If you save your money in a mutual fund earning 2.16% per quarter, how much are the oil changes worth to you at the time you buy the car?" A 210.61 B 426.79 C 563.06 D 593.46 E 842.56You are financing a car worth $26194.15 with tax included. Interest rates are 11.9% compounded daily. Payments are monthly and made at the end of the month. You will own the car in 5 years. You have a down payment of $1274, Calculate the finance charge (interest charged on purchase). Round your answer to two decimal places. Do not enter the dollar sign. Sample input: 1564.23 (Hint: Take the down payment off the total worth of the car including tax; this is your PVn. Then, find the monthly payment by hand using the ordinary general annuity formuls or use the TVM salver, You will need an interest conversion if you do this question by hand or Excel because we have daily interest but monthly payments, you will need a monthly periodic interest rate. Then find the total value of ALL your monthly payments (e. g., PMT x Total Number of Monthly Payments) and add this to your down payment; subtract the purchase price including tax of the car from this figure-the difference is the interest you'll…
- Problem: Yuseff was able to sell a car whose suggested retail price is $1,2000.000. The vehicle will be financed through a bank. The required down payment was $120,000.00 and the monthly amortization for 6 years will be 22,000.00. The car dealer gave 4% commission rate. Questions: 1. What percent of retail price is the down payment? 2. How much was the gross balance or the amount to be financed by the bank?Joe is buying some kitchen equipment for his new apartment. The total cost is $ 3,800$3,800 and he places a down payment of $380 There is add-on interest of 10% What is the total amount to be repaid if he takes 4 years to pay for the purchase? Round the answer to the nearest cent. A.)3762.00 B.)4788.00 C.)140220.00 D.)None of the above is correct.K1. You purchase a mixed use building in Queens that is expected to generate $845209 net operating income (NOI) in the following year. You finance your purchase with an $8,000,000 interest-only loan at a rate of 6.93%, compounded annually, with annual payments. What is your net income expected to be in the following year? State your answer as a number rounded to the nearest cent (e.g. if you get $13.57654, write 13.58)