Entrepreneurial Small Business 4th Edition by Jerome Katz ,Richard Green

Exercise 9

Assume that you own a 2005 Ford F750 Super Duty truck. The truck has been driven 32,000 miles. What is a reasonable disposal value for this truck (Be sure to reducing your estimate of sales price by the costs of selling the asset.) What is the replacement value of this truck (in other words, how much would another F750 with 30k miles cost to find, buy, finance, deliver, and license) Peruse newspaper ads, search the Internet, and talk with a truck salesman to estimate the truck's fair market value. Make a report to your class of your findings.