Red Brick Ltd Is Considering Replacing Its Existing Fleet of Trucks

question 45

Multiple Choice

Red Brick Ltd is considering replacing its existing fleet of trucks with a fleet of new trucks.It plans to evaluate two options based on the following information:
Management is considering two options:
i.Option (i) Replace the old trucks now and operate the new trucks for five years,to be replaced in perpetuity;
ii.Option (ii) Replace the old trucks in five years' time and operate the new trucks for five years,to be replaced in perpetuity.
Which option should the management choose?

• A)Option (i).
• B)Option (ii).
• C)Indifferent between the two options.
• D)Not enough information.

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Definitions:

ATP

Adenosine triphosphate, a high-energy molecule found in the cells of the human body, serving as a primary energy carrier.

Lemon Juice

A tart, acidic liquid obtained from lemons, widely used in cooking and beverages for its flavor and high vitamin C content.

Household Ammonia

A cleaning solution made from diluting ammonia gas in water, widely used as a disinfectant and cleaner.

Catabolic

Relating to or involving the breakdown of complex molecules into simpler ones, often with the release of energy, part of the metabolic process.