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<p class=MsoNormal><span style='color:#1F497D'>I was running with a 10% down
payment, an 8% interest rate, and 12 members. Also the Hawk XP runs about
10gph and the Cardinal runs about 11gph (conservative estimate based on
multiple results of a Google search). I can re-run the numbers with a 20%
down payment and a 7.1% interest rate, but I would recommend sticking with 12
members and these fuel consumption estimates. I’d rather be in a
situation where we know we have 15 members who would be willing to pay 12
member rates rather than having only 12 members who would be willing to pay 15
member rates. Finding that “sweet spot” is easier if we
estimate costs a little high and membership a little low.<o:p></o:p></span></p>
<p class=MsoNormal><span style='color:#1F497D'><o:p> </o:p></span></p>
<p class=MsoNormal><span style='color:#1F497D'>I was accounting for bootstrapping
the overhaul fund. If the plane has, for example, 1,000 SMOH, then we
need to set aside $10,000 towards the engine overhaul. I factored that
money as part of the one-time payment. We could also work that into the
monthly dues which would make the dues higher until after the first overhaul.<o:p></o:p></span></p>
<p class=MsoNormal><span style='color:#1F497D'><o:p> </o:p></span></p>
<p class=MsoNormal><span style='color:#1F497D'>Another consideration is that
insurance will likely go up as the value of the plane goes up. We agreed
that insurance on a 172 is $4,500, so I took a guess and figured that insurance
on the Hawk XP would be about $5,000, and insurance on the cardinal would be
about $5,500. I realize I have no solid basis for these numbers, but thought
it better to estimate rather than assume the same insurance premium on a Cardinal
that we’d have on a 172.<o:p></o:p></span></p>
<p class=MsoNormal><span style='color:#1F497D'><o:p> </o:p></span></p>
<p class=MsoNormal><span style='color:#1F497D'>I also made a leap and assumed
that we would want to hangar the Cardinal. It would be a shame to leave
such a beautifully restored and freshly painted aircraft out in the
elements. I assumed $350/month for a hangar, and that may even be on the
low side.<o:p></o:p></span></p>
<p class=MsoNormal><span style='color:#1F497D'><o:p> </o:p></span></p>
<p class=MsoNormal><span style='color:#1F497D'>The one-time cost is a hard
number to nail down because it depends very much on the particular aircraft we
choose. It just happens that given the particular aircraft chosen as samples,
the 172 has a higher one-time cost than the Cardinal. Since these are not
necessarily the actual aircraft we will pursue, I thought we should give a
range as we will not know the actual cost until we settle on something. <o:p></o:p></span></p>
<p class=MsoNormal><span style='color:#1F497D'><o:p> </o:p></span></p>
<p class=MsoNormal><span style='color:#1F497D'>I’ve attached a
spreadsheet with the numbers used to calculate the cost structures I used. <o:p></o:p></span></p>
<p class=MsoNormal><span style='color:#1F497D'><o:p> </o:p></span></p>
<p class=MsoNormal><span style='color:#1F497D'>Thanks,<o:p></o:p></span></p>
<p class=MsoNormal><span style='color:#1F497D'><o:p> </o:p></span></p>
<p class=MsoNormal><span style='color:#1F497D'>-Steve<o:p></o:p></span></p>
<p class=MsoNormal><span style='color:#1F497D'><o:p> </o:p></span></p>
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<p class=MsoNormal><b><span style='font-size:10.0pt;font-family:"Tahoma","sans-serif"'>From:</span></b><span
style='font-size:10.0pt;font-family:"Tahoma","sans-serif"'>
eefc-core-bounces@workingcode.com [mailto:eefc-core-bounces@workingcode.com] <b>On
Behalf Of </b>Bob Irving<br>
<b>Sent:</b> Saturday, April 11, 2009 10:55 AM<br>
<b>To:</b> eefc-core@workingcode.com<br>
<b>Subject:</b> sample numbers<o:p></o:p></span></p>
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<p class=MsoNormal><o:p> </o:p></p>
<p class=MsoNormal>At 20% down payment, 7.1% interest rate, and 15 members I
come up with the following numbers. What am i missing?<o:p></o:p></p>
<p class=MsoNormal><o:p> </o:p></p>
<p class=MsoNormal>40,000 = 600 initial/75 per month/65 per hour<o:p></o:p></p>
<p class=MsoNormal>50,000 = 700 initial/80 per month/65 per hour<o:p></o:p></p>
<p class=MsoNormal>60,000= 800 initial/85 per month/65 per hour<o:p></o:p></p>
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