Question: 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

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 $100,000 per year beginning now To the Government Costs: $1.8 million now and $200,000 every 3 years Savin

To the People $100,000 per year beginning now To the Government Costs: $1.8 million now and $200,000 every 3 years Savings: $90,000 per year Benefits: Disbenefits: $60,000 per year

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