An investment of $100,000 today will pay out 6 annual payments. The first payment will be $20,000. The payouts will increase each year at a rate of 9%. Determine the internal rate of return if your cost of capital is 10%.

a.5.47%

b.12.07%

c. 10%

d. $6,641.42

A proposed bridge on the interstate highway is being considered at the cost of 15 million dollars. It is expected that the bridge will have a life of 30 years. Construction costs will be paid by government agencies. Operation and maintenance costs are estimated to be $180,000 per year. Benefits to the public are estimated to be $900,000 per year. The building of the bridge will result in an estimated cost of $250,000 per year to the general public. The project requires a return of 5%. Determine the benefit/cost (B/C) ratio.

a. 0.78

b.0.56

c. 0.00

Could you show the workings on how you got the answer. Thank you