Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

A new highway is to be constructed. Design A calls for a concrete pavement costing $85per foot with a20-yearlife;four paved ditches costing$3per foot each; and

image text in transcribed

A new highway is to be constructed. Design A calls for a concrete pavement costing $85per foot with a20-yearlife;four paved ditches costing$3per foot each; and two box culverts every mile, each costing$8,000and having a20-year life. Annual maintenance will cost$1,700per mile; the culverts must be cleaned every five years at the cost of$350each per mile. Design B calls for a bituminous pavement costing$50per foot with a10-yearlife; four sodded ditches costing$1.40per foot each; and two pipe culverts every mile, each costing$2,200and having a10-year life. The replacement culverts will cost$2,400each. Annual maintenance will cost$2,700per mile; the culverts must be cleaned yearly at a cost of$215each per mile; and the annual ditch maintenance will cost$1.65per foot per ditch.Compare the two designs on the basis of equivalent worth per mile for a20-yearperiod. Find the most economical design on the basis of AW and PW if the MARR is8%per year.

A new highway is to be constructed. Design A calls for a concrete pavement costing $85 per foot with a 20-year life, four paved ditches costing $3 per foot each; and two box culverts every mile, each costing $8,000 and having a 20-year life. Annual maintenance will cost $1,700 per mile; the culverts must be cleaned every five years at a cost of $350 each per mile. Design B calls for a bituminous pavement costing $50 per foot with a 10-year life; four sodded ditches costing $1.40 per foot each; and two pipe culverts every mile, each costing $2,200 and having a 10-year life. The replacement culverts will cost $2,400 each. Annual maintenance will cost $2,700 per mile; the culverts must be cleaned yearly at a cost of $215 each per mile; and the annual ditch maintenance will cost $1.65 per foot per ditch. Compare the two designs on the basis of equivalent worth per mile for a 20-year period. Find the most economical design on the basis of AW and PW if the MARR is 8% per year. Click the icon to view the interest and annuity table for discrete compounding when the MARR is 8% per year. The AW value for Design A is $/mi. (Round to the nearest hundreds.) A new highway is to be constructed. Design A calls for a concrete pavement costing $85 per foot with a 20-year life, four paved ditches costing $3 per foot each; and two box culverts every mile, each costing $8,000 and having a 20-year life. Annual maintenance will cost $1,700 per mile; the culverts must be cleaned every five years at a cost of $350 each per mile. Design B calls for a bituminous pavement costing $50 per foot with a 10-year life; four sodded ditches costing $1.40 per foot each; and two pipe culverts every mile, each costing $2,200 and having a 10-year life. The replacement culverts will cost $2,400 each. Annual maintenance will cost $2,700 per mile; the culverts must be cleaned yearly at a cost of $215 each per mile; and the annual ditch maintenance will cost $1.65 per foot per ditch. Compare the two designs on the basis of equivalent worth per mile for a 20-year period. Find the most economical design on the basis of AW and PW if the MARR is 8% per year. Click the icon to view the interest and annuity table for discrete compounding when the MARR is 8% per year. The AW value for Design A is $/mi. (Round to the nearest hundreds.)

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Multinational Business Finance

Authors: David K. Eiteman, Arthur I. Stonehill, Michael H. Moffett

16th Edition

013749601X, 978-0137496013

More Books

Students also viewed these Finance questions

Question

5. Explain the supervisors role in safety.

Answered: 1 week ago