Use the table to answer the questions below. Choose the right answers. First Year Second Year Third Year
(14,500 miles) (13,000 miles) (11,500 miles)
Six-cyl.
V-8 Six-cyl
V-8
Six-cyl.
Sedan Compact Sedan Compact Sedan Compact
V-8
Depreciation
Cents Por
Mile
8.5
4.6
6.9
4.0
5.9
3.4
Repairs and
Maintenance
Cents Per Mile
0.7
0.7
1.0
1.0
2.3
1.6
Gas and on
Cents Per Mile
21
1.8
2.1
1.8
2.1
1.8
Insurance
Cents Per Mile
1.1
1.1
1.2
1.1
1.4
1.3
22
1.6
1.1
0.8
1.1
0.8
Federal and
State Taxes
and Fees
Cents Per Mile
Total Costs
Cents Per
Mile
$2,352
$1,621
$1,795
$1,329
$1,655
$1,222
16
11.2
13.8
10.2
14.4
10.6
One of your company's salesmen estimates he will drive 20,000 miles this year and each of the next two years. As the
service manager for the company's fleet of six-cylinder compact automobiles, you are asked to determine the total costs
for each of the three years.
Year 1 Total Cost: $
Year 2 Total Cost: $
Year 3 Total Cost: $