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Atoll bridge across the Mississippi River is being considered as a replacement for the current 1-40 bridge linking Tennessee to Arkansas. Because this bridge, if

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Atoll bridge across the Mississippi River is being considered as a replacement for the current 1-40 bridge linking Tennessee to Arkansas. Because this bridge, if approved, will become a part of the U.S. Interstate Highway system, the B-C ratio method must be applied in the evaluation. Assume that the initial surfacing of the bridge is included in the initial investment costs of the structure. a. What is the capitalized worth of the bridge (for the new design)? b. Determine the B-C ratio of the bridge over an infinite time horizon (for the new design) c. Should the initial design or the new design be selected? Click the icon to view the additional information about the initial and new designs. Click the icon to view the interest and annuity table for discrete compounding when the MARR is 11% per year. a. Calculate the CW value of the bridge for the new design. CW(11%) = $ 1.726 million (Round to three decimal places.) b. The B-C ratio of the bridge over an infinite time horizon is 1.07 - (Round to two decimal places.) c. Assuming repeatability for the initial design, the incremental B-C ratio is (Round to two decimal places.) Atoll bridge across the Mississippi River is being considered as a replacement for the current 1-40 bridge linking Tennessee to Arkansas. Because this bridge, if approved, will become a part of the U.S. Interstate Highway system, the B-C ratio method must be applied in the evaluation. Assume that the initial surfacing of the bridge is included in the initial investment costs of the structure. a. What is the capitalized worth of the bridge (for the new design)? b. Determine the B-C ratio of the bridge over an infinite time horizon (for the new design) c. Should the initial design or the new design be selected? Click the icon to view the additional information about the initial and new designs. Click the icon to view the interest and annuity table for discrete compounding when the MARR is 11% per year. a. Calculate the CW value of the bridge for the new design. CW(11%) = $ 1.726 million (Round to three decimal places.) b. The B-C ratio of the bridge over an infinite time horizon is 1.07 - (Round to two decimal places.) c. Assuming repeatability for the initial design, the incremental B-C ratio is (Round to two decimal places.)

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