A state highway department is planning the all road. It estimates that the construction cost (t = 0) will be $200M and maintenance costs will be $IM per year. In addition, every 20 years, a major res will have to be carried out at a cost of $25M. It is estimated that 6 million cars and ucks will use the road cach year, and it is decided that the toll charged to a truc times that of a car. The interest rate is 7%. Determine what the toll should be for each car and truck to cover all expenses for a eriod of 40 years. Assume the toll being charged and the estimated traffic flow
A state highway department is planning the all road. It estimates that the construction cost (t = 0) will be $200M and maintenance costs will be $IM per year. In addition, every 20 years, a major res will have to be carried out at a cost of $25M. It is estimated that 6 million cars and ucks will use the road cach year, and it is decided that the toll charged to a truc times that of a car. The interest rate is 7%. Determine what the toll should be for each car and truck to cover all expenses for a eriod of 40 years. Assume the toll being charged and the estimated traffic flow
Traffic and Highway Engineering
5th Edition
ISBN:9781305156241
Author:Garber, Nicholas J.
Publisher:Garber, Nicholas J.
Chapter13: Evaluating Transportation Alternatives
Section: Chapter Questions
Problem 17P
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