Ask Question, Ask an Expert

+61-413 786 465

info@mywordsolution.com

Ask Microeconomics Expert

Economics


Home >> Microeconomics

The Department of Public Works and Highways (DPWH) is considering the construction of a new highway through a scenic rural area. The road is expected to cost P50 million with annual maintainance estimated at P400,000. The improved accessibility is expected to result in additional income from tourist of P7 million per year. The road is expected to have a useful life of 25 years. If the rate of interest is 15%, should the road be constructed? Determine B/C ratio.

Microeconomics, Economics

  • Category:- Microeconomics
  • Reference No.:- M971933

Have any Question?


Related Questions in Microeconomics

Question my question would impact of demonitization on

Question: My question would impact of demonitization on rural and agrarian economy, it is said that digitization would rise, however to it implementation would be at faster pace in urban and its fringes. How would rural ...

Question in october 1987 the us stock market crashed with

Question: In October 1987, the US stock market crashed, with the Dow Jones Industrial Average falling 508 points, or 22%, in a single day. Yet the economy continued to prosper, with real GDP rising faster in the four qua ...

Question think about the business cycle during a recession

Question: Think about the business cycle: during a recession, unemployment increases; it decreases in an expansionary phase. Explain what happens to TANF, SNAP, and Medicaid programs at each phase of the business cycle ( ...

Question suppose the government cuts corporate income taxes

Question: Suppose the government cuts corporate income taxes, hence boosting I. However, S has declined because the deficit has increased. Explain how the economy returns to equilibrium where I = S on an ex post basis. T ...

Question discuss the nature of the alliance between the

Question: Discuss the nature of the alliance between the Soviet Union and the Western powers (US and Britain) during the Second World War and how this affected the strategy of the war. Why were the Soviets and the Americ ...

Question how does an economys choice about how many of its

Question: How does an economy's choice about how many of its resources to devote to capital goods production as compared to consumer goods production affect its curent standard of living and its future standard living? T ...

Question hypothetically imagine if us abolishes 100 bill

Question: Hypothetically, imagine if US abolishes $100 bill and replace it with a different bill. What according to you will be the repercussion of such a change of domestic market and international market. (Do research, ...

Question this question is about the baumol-tobin model for

Question: This question is about the Baumol-Tobin model. For this question, state your answers in terms of income (Y), money holdings (M), interest (i), Number of trips to the bank (N), and cost of trips to the bank (F) ...

Question assume that a piece of property is purchased for

Question: Assume that a piece of property is purchased for $500,000. A 20% down payment is made and the rest is financed through a 30-year mortgage loan with a 5.25 % annual interest rate, compounded monthly. The loan wi ...

Question in 2009 us households were not even buying a

Question: In 2009 U.S. households were not even buying a toaster when it wore out. Which economies that are major trading partners of the United States are presently in slowdowns? How long do you think that situation wil ...

  • 4,153,160 Questions Asked
  • 13,132 Experts
  • 2,558,936 Questions Answered

Ask Experts for help!!

Looking for Assignment Help?

Start excelling in your Courses, Get help with Assignment

Write us your full requirement for evaluation and you will receive response within 20 minutes turnaround time.

Ask Now Help with Problems, Get a Best Answer

Why might a bank avoid the use of interest rate swaps even

Why might a bank avoid the use of interest rate swaps, even when the institution is exposed to significant interest rate

Describe the difference between zero coupon bonds and

Describe the difference between zero coupon bonds and coupon bonds. Under what conditions will a coupon bond sell at a p

Compute the present value of an annuity of 880 per year

Compute the present value of an annuity of $ 880 per year for 16 years, given a discount rate of 6 percent per annum. As

Compute the present value of an 1150 payment made in ten

Compute the present value of an $1,150 payment made in ten years when the discount rate is 12 percent. (Do not round int

Compute the present value of an annuity of 699 per year

Compute the present value of an annuity of $ 699 per year for 19 years, given a discount rate of 6 percent per annum. As

Follow Us

© Copyright 2013-14 mywordsolution.com All rights reserved