Edgar purchased a car in kit form for £2000 and proceeded to assemble it himself. The following information was obtained: (a) £1500 of special tools had to be purchased to construct the car. (b) His...

Edgar purchased a car in kit form for £2000 and proceeded to assemble it himself. The following information was obtained:

(a) £1500 of special tools had to be purchased to construct the car.


(b) His garage was used for the work, and this was normally kept empty, but £200 per week rent could have been obtained for it if let.


(c) The construction time was 2 weeks, 1 week being Edgar's holiday, the other week a special unpaid week off work (he earns £400 per week).


(d) When constructed, the car could have been sold for £3000.


(e) The car will save Edgar £3250 over its life in travelling expenses, etc. What value would you assign to Edgar's car?


Nov 19, 2021
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