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Reffering to Husky's and Upchuck's posts and at the risk of taking this thread off subject and ballistic:
I kind of feel 5000 would be seemingly low and 10000 a bit high. For me I think you should tie actual annual use and annual depreciation together.
5000 may be low but at least you'll beat the monthly note plus the actual operational costs.
I would have figured 70% of available annual hours or .7 x 2000 = 1400 hours per year times 5 years (which is fairly close to the normal length of time most notes are) and this would allow a 5 year depreciation schedule as well.
Even if I did keep a machine for 10,000 hours I would charge the rate applicable to 7000 so this way if or when its time for a new one my rate is good to go and I dont need to re-train my clients for higher prices
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Roccies Asphalt Paving
The Right Way Driveway Company
If you say you cant, your a loser. If you say you wont, your a quiter. Which one do you want to be?
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