Question

What is the total vehicle life cycle cost of this hybrid car given the information provided in the following​ table? Vehicle Purchase Cost ​$19000 Vehicle Operating Cost per Mile ​$0.15 Useful Life of Vehicle 16 years Miles per Year 14,000 Miles per Gallon 34 Average Fuel Price per Gallon ​$3.67 Total Life Cycle Cost equals​$ nothing ​(round your response to the nearest whole​ number).

Answer 1

Cost of vehicle = $19000

Total Fuel cost = (Miles per year/Miles per gallon)(Average fuel price per gallon x useful life of vehicle) = (14000/34)(3.67x16) = 411.76 x 58.72 = $24179

Total operating cost = miles per year x operating cost per mile x useful life of vehicle = 14000 x 0.15 x 16 = $33600

Total life cycle cost = cost of vehicle+total fuel cost+total operating cost = $19000+$24179+$33600 = $76779