Do you still want that Panda?
Introduction: Blenheim wants to build a close relationship
with China that includes bringing a Giant Panda to town – but it
will have to be quarantined for 2 months first! The MDC is trying
to work out how much it will cost to buy a Giant Panda, transport
it from China to New Zealand, and care for it in quarantine for
two months.
Task: Calculate the overall cost to the MDC, including the purchase of this Giant Panda,
transport, building costs, vet checks, food and heating expenses. Also calculate the
component that the Chinese will need to pay.
Purchase
1 X Giant Panda ¥ 167, 638.355 (Chinese Yuan)
Transport
Total transport cost is $NZ 15,000 incl. GST
An additional 8% landing tax will have to be paid once the Panda arrives at Auckland Airport.
Cost of temporary quarantine enclosure
China and NZ have agreed to split the cost of building a temporary enclosure at $90,000 incl
GST, into the ratio 2:3, but China will not pay the GST on their portion of the money.
Regular health checks
A vet will have to carry out health checks every 4 days lasting 45 minutes. The vet charges
$250 per hour.
Food
The Giant Panda is expected to eat 4.5X102 bamboo shoots per day, at a cost of 10c per
shoot.
Heating
To maintain a comfortable living environment, the monthly heating cost will be
approximately $NZ 5000 excl GST. However, given that the cost of electricity continues to
rise, this cost is expected to increase by per month.
Exchange Rate
Chinese Yuan ¥
$NZ 1
5.00413
Do you still want that Panda?
Cost of Panda =
Transport =
Enclosure
NZ amount =
China amount with GST:
China amount without GST:
Health Checks while in quarantine
2 months =
45 min health check cost =
Number visits in 62 days =
Total Cost of the health checks =
Food
Food cost
Total food cost =
(for 62 days in quarantine)
Heating
Heating cost =
First month electricity will cost $5750
Second month electricity will cost:
Total heating cost =
Overall Total Costs for MDC =
Cost for China = $31304.35