Julon petro materials inc ordered 85 million worth of, Business Economics

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Julon petro materials inc ordered 85 million worth of

Julon Petro Materials, Inc. ordered $8.5 million worth of seamless tubes for its drill collars from the Timken Company of Canton, Ohio. (A drill collar is the heavy tubular connection between a drill pipe and a drill bit.) At 10% per year interest, what is the annual worth of the purchase over a 12-year amortization period?

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Business Economics: Julon petro materials inc ordered 85 million worth of

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