Reference no: EM132561532

Question 1: A used bulldozer with a remaining life of 5 years and $10,000 salvage value can be purchased for $40,000. The annual maintenance cost is expected to $20,000 per year. In addition, operating costs are expected to be $25 per hour. Alternatively, a bulldozer can be rented for $150 per hour. At an interest rate of 10% per year, the minimum number of hours per year the bulldozer must be utilized to justify its purchase is closest to

Question 2: Mr. Hakan borrows 100.000 TL at 10% compounded annually, agreeing to repay the loan in 20 equal annual payments. How much of the original principal is still unpaid after he has made the tenth payment?