1 machine cost is $50,000. fuel and minorrepair cost is cost is # 15.00 per hour. A set oftire costs $3500 to replace. The estimated lifeof tire is 2800 use hours. After 8000 hours ofwork it will be sold 10 percent of purchaseprice. The machine is expected to work 1400hours per year. The cost of capital rate is 7%.How much is the annualized salvage value?

Given:- Machine cost=$50,000 Minor repair cost = #15.00 per hour tire costs =$3500 life of tire=2800…

Answered: machine cost is $50,000. fuel and minor…

Fundamentals Of Construction Estimating

4th Edition

ISBN:9781337399395

Author:Pratt, David J.

Publisher:Pratt, David J.

Chapter9: Pricing Construction Equipment

Section: Chapter Questions

Problem 6RQ

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machine cost is $50,000. fuel and minor repair cost is cost is # 15.00 per hour. A set of tire costs $3500 to replace. The estimated life of tire is 2800 use hours. After 8000 hours of work it will be sold 10 percent of purchase