a$.$ Determine the equal annual net cash flows from operating the bulldozer

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a$.$ Subtract the operating expenses $($hourly fuel and labor costs, multiplled by the operating hours, plus the annual maintenance costs$)$ from the revenues $($operating hours multiplled by the hourly revenue$).$

Present value of annual net cash flows :

c$.$ Should Jones invest in the bulldozer, based on this analysis?

c$.$ Should Jones invest in the bulldozer, based on this analysis? Yes $,$ because the bulldozer cost is more than the present value of the cash flows at the minimum desired rate of return of $6\%.$

d$.$ Determine the number of operating hours such that the present value of cash flows equals the amount to be invested. Round interim calculations and final answer to the nearest whole number.

$3]x$ hours

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