Reference no: EM131354388
One of the challenges of the future is how to increase truck carrying capacity as well as fuel efficiency. View the video on this link “Freightliner Super Truck” which describes the features of a concept truck designed by Freightliner.
In looking at the features of technologically advance trucks such as this future truck, one of the major considerations is cost. Cost cannot be looked at as a stand-alone factor, but rather it needs to be assessed in terms of its payback period. In other words, how many additional miles or how long of a time period would the concept truck need to be operated before the premium in cost was recouped.
Consider these factors when answering the questions below. (please show your calculation how you arrived at your answer for questions #1 and #2.)
Current conventional truck (and trailer) specifications:
Cost: $185,000.
Miles driven per year: 100,000
Average length of haul: 1,000 miles
Average number of loads per year: 100
Average miles per gallon: 7 mpg
Trailer capacity: 42,000 lbs
Price of diesel: $2.75/gal
Freightliner Super Truck (and trailer) specifications:
Cost: $250,000.
Miles driven per year: 100,000
Average length of haul: 1,000 miles
Average number of loads per year: 100
Average miles per gallon: 12.2
Trailer capacity: 46,000 lbs
Price of diesel: $2.75/gal
1. Considering fuel-cost only, how long would it take (either in miles or years) to “break-even” to make up for the $65,000 price premium of the new “future truck” compared to the current truck?
2. How much could that break-even time period be reduced, if you were able to increase your average truckload REVENUE by $200 per load, as a result of the increased weight capacity?
3. Beside fuel savings, and increased carrying capacity, what other benefits might you expect to see as a result of this new “future truck?”
4. What additional pieces of information would you need to know before you would consider purchasing this “future truck”, that were not mentioned in the video?
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: One of the challenges of the future is how to increase truck carrying capacity as well as fuel efficiency. View the video on this link “Freightliner Super Truck” which describes the features of a concept truck designed by Freightliner. How much could..
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