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Click here to access the TVM Factor Table calculator. B/C= Carry all interim calculations to 5 decimal places and then round your final answer to
Click here to access the TVM Factor Table calculator. B/C= Carry all interim calculations to 5 decimal places and then round your final answer to 4 decimal places. The tolerance is 0.000 The investment be made as the B/C ratio is 1. A local municipality is considering investing $250,000 to upgrade a park. Based on similar investments made by similar cities, it is anticipated the investment will result in annual costs and annual benefits over a 15 -year period as shown in the cash flow profile given below in thousands of dollars. Notice, an intermediate investment of $150,000 is anticipated in the 6th year of the investment. Based on a MARR of 5%, use benefit-cost ratio analysis to determine whether the investment should be made. (All values in thousand dollars)
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