Question: solve for net present value Jane's Auto Care is considering the purchase of a new tow truck. The garage doesn't currently have a tow truck,

Jane's Auto Care is considering the purchase of a new tow truck. The garage doesn't currently have a tow truck, and the $60,000 price tag for a new truck would represent a major expenditure. Jane Austen, owner of the garage, has compiled the following estimates in trying to determine whether the tow truck should be purchased. Jane's good friend, Rick Ryan, stopped by. He is trying to convince Jane that the tow truck will have other benefits that Jane hasn't even considered. First, he says, cars that need towing need to be fixed. Thus, when Jane tows them to her facility, her repair revenues will increase. Second, he notes that the tow truck could have a plow mounted on it, thus saving Jane the cost of plowing her parking lot. (Rick will give her a used plow blade for free if Jane will plow Rick's driveway) Third, he notes that the truck will generate goodwill; people who are rescued by Jane's tow truck will feel grateful and might be more inclined to use her service station in the future or buy gas there. Fourth, the tow truck will have "Jane's Auto Care" on its doors, hood, and back tail gate-a form of free advertising wherever the tow truck goes. Rick estimates that, at a minimum, these benefits would be worth the following, negotive sign preceding the number es. 45 or porentheses eg. (45). Round answer to 0 decimal ploces, eg. 125. For calculation purposes, use 5 decimal places as displayed in the foctor table provided) Netpresentvalue $ Should the tow truck be purchased? The tow truck be purchased. eTextbook and Media (b) Your answer is partially correct. Attempts: 4 of 10 used Calculate the net present value, incorporating the additional benefits suggested by Rick of the net present value is negotive, use either a negative sign proceding the number es 45 or parentheses es. (45). Round onswer to 0 decimal places, eg. 125. For calculation purposes, use 5 decimal places as disployed in the foctor table provided)
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