A flood control project with a life of 16 years will, Ask an Expert

Economics

A flood control project with a life of 16 years will require an investment of $63,971 and annual maintenance costs of $5,000. The project will provide no benefits for the first two years but will save $24,000 per year in flood damage starting in the third year. The appropriate MARR is 12% per year. Using the PW, what is the modified B-C ratio for the flood control project?

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Business Economics, Economics

Category:- Business Economics
Reference No.:- M91386053

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