A spare parts supplier is thinking of building a car from

Reference no: EM13579715

A spare parts supplier is thinking of building a car from the parts he has in his yard. He does not expect any reward for his labour but wants to know what costs he should include for the materials. He has provided the following information:

• A chassis was bought for £100 and has no scrap value.

• A reconditioned engine will cost £375. However, an old engine was bought for £50. It can either be sold in its present condition for £225 or additional parts costing £250 could be bought to bring to bring the engine to an equivalent standard to the reconditioned one.

• Tyres costing £180 need to be purchased.

• Paint is in stock at a cost of £60 but it will need to be replaced at its current price of £70.

Reference no: EM13579715

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