Question

Shad Yarbrough wants to consider the cost per use of a high-end desk top computer he is considering for his web site business. The computer costs $1,750 and has a life expectancy of four years. If Shad feels he would use the computer three days a week, on average, what is Shad's cost per use?

Answer 1

Shad's cost per use will be $ 2.80.

Explanation:

Since Shad Yarbrough wants to consider the cost per use of a high-end desk top computer he is considering for his web site business, and the computer costs $ 1,750 and has a life expectancy of four years, if Shad feels he would use the computer three days a week, on average, to determine what is Shad's cost per use, the following calculation must be performed:

Weeks per year = 52

52 x 4 = 208

208 x 3 = 624

1750/624 = X

2.80 = X

Thus, Shad's cost per use will be $ 2.80.