Problem
A 260-fwhp diesel-powered wheel loader will be used to load shot rock. This loader was purchased for 5330,001 The estimated salvage value at the end of 4 yr is 585.000. The company's cost of capital is &7%. A set of tires costs 532.000. The work efficiency will be equal to a 45-min hour. The engine will work at full throttle while loading the bucket (33% of the time) and as three-qtarter throttle to travel and dump. The crankcasecapacity is 10 gal and the company has a policy to change oil every 100 hear this job. The annual Cent of repairs equals 70% of the straight-line machine depreciation. Fuel cost S1.0//gal, and oil is 52.50/gal. The oast of other lubricants and fibers is 50.458w. Tire repMr is 17% of tire depreciation. The tires should give 3,000 br of service. The loader will work 1,500 hr/yr. In this usage the estimated life for bucket teeth is 1201. The local Aria for a set of teeth is 5640. What is the operating cost for the loader in this application? ($52.007/11r)
The response should include a reference list. Double-space, using Times New Roman 12 pnt font, one-inch margins, and APA style of writing and citations.