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

What will be an ideal response?


P = 100,000(260)(P/A,10%,8)(P/F,10%,2)
= 26,000,000(5.3349)(0.8264)
= $114.628 million

Trades & Technology

You might also like to view...

The BC certification organization, ____________________, offers an Associate Business Continuity Professional certification.

Fill in the blank(s) with the appropriate word(s).

Trades & Technology

Which of the following was NOT associated with the early 19th-century cause of women's rights?

A. Emily Dickinson B. Lucy Stone C. Lucretia Mott D. Susan B. Anthony E. Elizabeth Cady Stanton

Trades & Technology

What are two disadvantages of using transplants?

What will be an ideal response?

Trades & Technology

A(n) ____________________ is used for cleaning grease from smaller parts.

Fill in the blank(s) with the appropriate word(s).

Trades & Technology