Determine present cost of owning and operating the computer

Assignment Help Econometrics

Reference no: EM13180749

An engineering freshman wants to purchase a laptop computer for use during the 4 ½ years that she plans to study engineering at Texas Tech. After looking around a bit, she finds that a well-equipped laptop with software can be purchased for $1,800 and that it should have a market value of at least $300 if she wants to sell it when she graduates after 4 ½ years. Assume that maintenance and supplies will cost $100 each six months . Use an interest rate of 12% per year with monthly compounding, and determine the present cost of owning and operating the computer.

Reference no: EM13180749

Questions Cloud

How do depreciation costs on the house deducted from income : Explain and compare these four different scenarios on how mortgage, depreciation and tax expense impacts decisions on whether or not to purchase a single family income property as an investor. Scenario 1: If the mortgage rate rises from 5% to 10%..

Draw the product that is formed with sodium iodide in aceton : Draw the product that is formed when (3R, 6R)-6-chloro-2,3-dimethyloctane reacts with sodium iodide in acetone

Solution behave differently at different higher temperatures : H3PO4 behaves differently at different higher temperatures, give details of reaction that occurs at different temperatures

Explain total utility and marginal utility : Which of following is necessarily true regarding total utility (TU) and marginal utility (MU)?Newspaper vending machines are often built so that customers can pay to lift a door and take a paper off a pile of daily newspapers. Newspaper distributor..

Determine present cost of owning and operating the computer : An engineering freshman wants to purchase a laptop computer for use during the 4 ½ years that she plans to study engineering at Texas Tech.Assume that maintenance and supplies will cost $100 each six months . Use an interest rate of 12% per year wi..

State the amino acid glycine is used for biochemical buffers : The amino acid glycine is often used for biochemical buffers. The amino group of glycing can exist in a protonated form or as a free base (pKa 9.6).

Evaluate the effectiveness of the tool and the correctness : As a result of Barry's recommendation, Texas Crude purchased the tool for $30,000 on January 1, 2005. By January 1, 2006, the tool had saved a total of $5,000 and went on line full time. After going on line full time, the tool saved Texas Crude $9..

Explain a certain number of sodium ion lattice points : A certain number of sodium ion lattice points and a certain number of chloride ion lattice points are required. How many chloride ion lattice points are in the unit cell as described above?

State procedure to prepare the analogous propoxy compound : If you wanted to adapt this procedure to prepare the analogous propoxy compound, how much propyl iodide would you have to use to carry out the reaction on the same scale?

User Account

All Pages