The correct answer is B. $12,000 . This question asks only for the repair and replacement costs of Car B , not the full life-cycle cost. Therefore, the initial purchase price of $50,000 and the fuel cost data are irrelevant for this specific calculation. The only repair/replacement item listed for Car B is tires every two years at $2,000 .

The service life is 12 years . Since tires are replaced every 2 years , the number of replacement cycles is:

12 years ÷ 2 years = 6 replacement cycles

The total repair and replacement cost is therefore:

6 × $2,000 = $12,000

Option A. $6,000 would represent only three tire replacements, which does not cover the full 12-year service life. Option C. $10,000 would represent five replacements; that approach would exclude the final two-year replacement interval, but this question’s wording asks for costs for the service life , so the full 12-year period is counted. Option D. $4,000 covers only two replacement cycles and is clearly incomplete.

In the Evaluation Phase, the CVS candidate must separate initial cost , annual operating cost , and periodic repair/replacement cost before performing life-cycle calculations. This question isolates the periodic replacement-cost component only.

References/topics: Evaluation Phase; Life-Cycle Cost; Repair and Replacement Costs; Recurrent Cost; Cost Classification.