Required information The following data is provided for a PPP project. To the People To the Government Benefits $130,000 per year beginning now Cost $1.8 million now and $200,000 every 3 years Disbenefits $75,000 per year Savings $100,000 per year Calculate the conventional benefit/cost ratios using an interest rate of 7% per year and an infinite project period. The conventional B//C ratio is

Required information The following data is provided for a PPP project. To the People To the Government Benefits $130,000 per year beginning now Cost $1.8 million now and $200,000 every 3 years Disbenefits $75,000 per year Savings $100,000 per year Calculate the conventional benefit/cost ratios using an interest rate of 7% per year and an infinite project period. The conventional B//C ratio is

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

See similar textbooks

Similar questions

From the following data for a PPP project, calculate the (a) conventional, and (b) modified benefit/ cost ratios using an interest rate of 6% per year and an infinite project period. To the People To the Government Benefits: $100,000 per year beginning now Costs: $1.8 million now and $200,000 every 3 years Disbenefits: $60,000 per year Savings: $90,000 per year
Required information The following data is provided for a PPP project. Benefits Disbenefits To the People $140,000 per year beginning now $25,000 per year Cost Savings Calculate the conventional benefit/cost ratios using an interest rate of 11% per year and an infinite project period. The conventional B/C ratio is To the Government $1.8 million now and $200,000 every 3 years $95,000 per year
Economics use excel to solve QUESTION 4 Calculate the modified B/C ratio for the following cash flow estimates of a public project at an interest rate of 2% per year. Initial Cost 600,000 Annual Benefits 125,000 Annual Disbenefits 35,470 Annual O&M costs 25,000 Projected life 20
The following data is provided for a PPP project. To the People To the Government $1.8 million ndiw and $200,000 every 3 years Benefits $95,000 per year beginning now Cost Disbenefits $35,000 per year Savings $120.000 per year Calculate the conventional benefit/cost ratios using an interest rate of 10% per year and an infinite project period. The conventional B/C ratio is 07882
Required information The following data is provided for a PPP project. To the Government $1.8 million now and $200,000 every 3 years To the People Benefits $95,000 per year beginning now Cost $35,000 per year Savings $80000 per year Disbenefits Calculate the modified benefit/cost ratios using an interest rate of 5% per year and an infinite project period. The modified B/C ratio is
The following data is provided for a PPP project To the People To the Government $1.8 million ndw and $200,000 every З уears $12d000 per year Benefits $95,000 per year beginning now Cost Disbenefits $35.000 per year Savings Calculate the modified benefit/cost ratios using an interest rate of 10% per year and an infinite project period. The modified B/C ratio is 07682
The following data is provided for a PPP project. To the People To the Government Benefits $95,000 per year beginning now Cost $1.8 million now and $200,000 every 3 years Disbenefits $60,000 per year Savings $115,000 per year 1--Calculate the conventional benefit/cost ratios using an interest rate of 12% per year and an infinite project period. The conventional B/C ratio is . 2--Calculate the modified benefit/cost ratios using an interest rate of 12% per year and an infinite project period. The modified B/C ratio is .
The following data is provided for a PPP project. To the People To the Government Benefits $145,000 per year beginning now Cost $1.8 million now and $200,000 every 3 years Disbenefits $25,000 per year Savings $105,000 per year Calculate the conventional benefit/cost ratios using an interest rate of 9% per year and an infinite project period.
10. Calculate (a) the conventional B/C ratio, (b) the modified B/C ratio, and (c) the PI for the following cash flow estimates at a discount rate of 10% per year. a) 0.91, 0.72, 1.04 Item PW of benefits, S AW of disbenefits, S/year First cost, S M&O costs, S/year Life of project, years b) 1.04, 0.91, 1.21 c) 0.72, 0.91, 0.97 Cash Flow 3,800,000 45,000 1,200,000 300,000 20 d) 1.12, 1.26, 1.04 e) 1.15,0.98. 1.32
The following data is provided for a PPP project. To the People To the Government Benefits $95,000 per year beginning now Cost $1.8 million now and $200,000 every 3 years Disbenefits $25,000 per year Savings $70,000 per year Calculate the conventional benefit/cost ratios using an interest rate of 8% per year and an infinite project period. A) The conventional B/C ratio is ----------- B) The modified B/C ratio is-----------
In a modified B/C ratio:a. disbenefits and M&O costs are subtracted from benefitsb. disbenefits are subtracted from benefits, and M&O costs are added to costsc. disbenefits and M&O costs are added to costsd. disbenefits are added to costs, and M&O costs are subtracted from benefits
For a complete and correct incremental B/C analysis method for multiple alternatives, which of the following does the method NOT require? a. Čalculation of the B/C ratio of each alternative b. The identification of all relevant alternatives c. Ranking the order of the projects (smallest to largest denominator) d. Calculation of the B/C ratio for incremental cash flows