- A proposed new bus route is expected to require 12 new buses and to operate a total of 720,000 veh-km per year and 40,000 veh-h per year. Buses cost $210,000 each, have a 10-year life, and a salvage value after 10 years of $27,000 each. Operating costs include labor costs (wages, benefits, etc.) at $50.00 per veh-h, maintenance costs at $0.18 per veh-km, and cost of fuel, oil, tires, etc. at $0.42 per veh-km. Calculate the life-cycle cost (present value) of adding this route and operating it for 10 years, assuming an annual interest rate of 5 percent.

Ancho corp. is an automobile company whose core competency lies in manufacturing petrol- and diesel- based cars. the company realizes that more of its potential customers are switching to electric cars. the r& d department of the company acquires competencies in developing electric cars and launches its first hybrid car, which uses both gas and electricity. in this scenario, ancho is primarilya. leveraging new core competencies to improve current market position. b. redeploying existing core competencies to compete in future markets. c. unlearning existing core competencies to create and compete in markets of the future. d. building new core competencies to protect and extend current market position