1) Because unintended lane changes by distracted drivers are responsible for 43% of all highway fatalities, Ford Motor Co. and Volvo launched a program to develop technologies to prevent accidents by sleepy drivers. A device costing $260 tracks lane markings and sounds an alert during lane changes. If these devices are included in 100,000 new cars per year beginning 3 years from now, what would be the present worth of their cost over a 10-year period at an interest rate of 8% per year?

Answer rating: 100% (QA)

To calculate the present worth of the cost of the devices over a 10year period we need to discount t... View the full answer