What is the crossover point in miles

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Reference no: EM131356488

Given the data in Problem and an alternative hybrid vehicle with the specifications shown below:

a) What is the crossover point in miles?

b) Which vehicle is has the lowest cost until the crossover point is reached?

Vehicle Purchase Cost	$29,000
Vehicle Operating Cost per Mile	$0.08
Useful Life of Vehicle	10 years
Miles per year	18,000
Miles per gallon	40
Average fuel Price per gallon	$2.55

Problem - Hartley Auto Supply delivers parts to area auto service centers and is replacing its fleet of delivery vehicles. What is the total vehicle life-cycle cost of this gasoline engine truck given the information provided in the following table?

Vehicle Purchase Cost	$25,000
Vehicle Operating Cost per Mile	$0.13
Useful Life of Vehicle	10 years
Miles per year	18,000
Miles per gallon	25
Average fuel Price per gallon	$2.55

Reference no: EM131356488

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