Three government projects are being considered today, one each in education, health, and welfare. Only one of the three projects may be selected, and multiple investments in the same alternative (e.g., investing in two for health) is not permitted. Since our local U.S. representative has procured a lot of "free" federal money, the MARR being used is 0 percent. The PW of benefits, PW of costs, and \(B / C\) ratios for each of the three mutually exclusive alternatives, plus some other incremental analyses, are summarized:

a. Which project should be undertaken?

b. Numerically, show your reasoning in terms of the \(B / C\) ratio.

c. Numerically, show your reasoning in terms of \(B-C\).

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Project PW Benefits PW Costs B/C Ratio Education $1,200,000 $1,000,000 1.20 Health $280,000 $200,000 1.40 Welfare $300,000 $150,000 2.00 A(Education-Health) $920,000 $800,000 1.15 A(Welfare-Health) $20,000 -$50,000 -2.50 A(Education-Welfare) $900,000 $850,000 1.06