A corporate jet costs $1,350,000 and will incur $200,000 per year in fixed cost (maintenance, ...)...

 

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A corporate jet costs $1,350,000 and will incur $200,000 per year in fixed cost (maintenance, ...) and $277 per hour variable cost (fuel, ...). The jet will be operated 1200 hours per year for 5 years and then sold for $650,000. The jet revenues $1,000 per hour. The MARR is 15% per year. Determine the Capital Recovery (CR) value of the jet. A corporate jet costs $1,350,000 and will incur $200,000 per year in fixed cost (maintenance, ...) and $277 per hour variable cost (fuel, ...). The jet will be operated 1200 hours per year for 5 years and then sold for $650,000. The jet revenues $1,000 per hour. The MARR is 15% per year. Determine the Capital Recovery (CR) value of the jet.