1. A city plans to upgrade its storm water management infrastructure by installing new pipes. The installation costs 1 million dollars and the annual maintenance cost is $16000. Every 20 years, the system needs to be fully examined which requires a fixed management and material cost of $12000 and a variable labor cost at the rate of $20/hr. 5 full time (working 8 hours per day) workers will be employed for 40 days for this task. If the infrastructure has a life time of 100 years and the city's interest rate is 12%, what is the capitalized worth of the project.

b. A city plans to upgrade its storm water management infrastructure by installing new pipes. The installation costs 1 million dollars and the annual maintenance cost is $16000. Every 20 years, the system needs to be fully examined which requires a fixed management and material cost of $12000 and a variable labor cost at the rate of $20/hr. 5 full time (working 8 hours per day) workers will be employed for 40 days for this task. If the infrastructure has a life time of 100 years and the city's interest rate is 12%, what is the EUAC of the infrastructure?