Mytown uses an interest rate of 6. what is the eac for, Ask an Expert

Economics

Mytown's street department repaves a street every 8 years. Potholes cost $12,000 per mile beginning at the end of year 3 after construction or repaving. The cost to fix potholes generally increases by $12,000 each year. Repaving cost are $180,000 per mile. Mytown uses an interest rate of 6%. What is the EAC for Mytown's policy? What is the EAC for the optimal policy? What is the optimal policy?

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Business Economics, Economics

Category:- Business Economics
Reference No.:- M9447015

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