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A state highway department is planning the construction of a 50 mile, four-lane toll road. It estimates that the construction cost (t = 0) will

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A state highway department is planning the construction of a 50 mile, four-lane toll road. It estimates that the construction cost (t = 0) will be $200,000,000 and annual maintenance costs will be $1,000,000 per year forever. In addition, every 10 years in perpetuity, a major resurfacing will have to be carried out at a cost of $10,000,000. It is estimated that 6,000,000 cars and 600,000 trucks will use the road each year, and it is decided that the toll charged to a truck will be four times that of a car. Interest rate is 7%. Show the cash flow diagram. Determine what the toll should be for each car and truck to cover all expenses over an infinite planning period

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