Should Jim sell his gas-guzzler? Jim's 1998 minivan is quite functional, but it...
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Accounting
Should Jim sell his gasguzzler?
Jim's minivan is quite functional, but it only averages miles per gallon mpg He has found a somewhat newer vehicle roughly the same functionality that averages He can sell his current minivan for $ and purchase the newer vehicle for $ Assume a cost of gasoline $ per gallon How many miles per year must Jim drive if he wants to recover his investment in three years? Assume an interest rate of zero salvage value for either vehicle after three years, and identical maintenance cost.
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