Car producer energy efficiency

A car producer aims at making an existing model more efficient. Because of the improvements the car should now use 6.3L of gasoline instead of 7L of gasoline pre 100km. 

Assuming average customer drives 20000km per year, pay-back-period of 3 years and gasoline prices is $1.30. 

The adaptions in the first produced new model will cost $1700. How many more efficient cars must the producer produce in order to stay below the additional price ($546)? Use a progress ratio of 0.9 for the additional costs.

 

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