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An inyestment of $5,000 today will pay out 6 annual payments. The rst payment will be $11EJUO. The payouts will increase each year at a
An inyestment of $5,000 today will pay out 6 annual payments. The rst payment will be $11EJUO. The payouts will increase each year at a rate of 2%. Determine the internal rate of return if your cost of capital is ?%. O -a.19 O 5.4% C) 6.95% gm Question 2 10 pts A proposed bridge on the interstate highway is being considered at the cost of3 million dollars. It is expected that the bridge will have a life of 30 yea rs. Construction costs will be paid by government agencies. Operation and maintenance costs are estimated to be $130,000 peryear. Benets to the public are estimated to be $000,000 per year. The building of the bridge will result in an estimated cost of $250,000 peryear to the general public. The project requires a return of 10%. Determine the benetfcost [BIC] ratio. Q 1.01 O 0.02 O 1.30 4 Previous
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