COMPUTE INITIAL COST, ANNUAL NET COST/BENEFIT, AND IRR PLEASE/THANK U!!

\fWashington County's Board of Representatives is considering the construction of a longer runway at the county airport. Currently, the airport can handle only private aircraft and small commuterjets. A new, long runway would enable the airport to handle the midsize jets used on many domestic flights. Data pertinent to the board's decision appear below. Cost of acquiring additional land for runway $ 75,500 Cost of runway construction 211,030 Cost of extending perimeter fence 31,545 Cost of runway lights 42,350 Annual cost of maintaining new runway 30,200 Annual incremental revenue from landing fees 43,030 In addition to the preceding data, two other facts are relevant to the decision. First, a longer runway will require a new snowplow, which will cost $111,000. The old snowplow could be sold now for $10,550. The new, larger plow will cost $13,100 more in annual operating costs. Second, the County Board of Representatives believes that the proposed long runway, and the majorjet service it will bring to the county, will increase economic activity in the community. The board projects that the increased economic activity will result in $75,220 per year in additional tax revenue for the county. In analyzing the runway proposal, the board has decided to use a 10-year time horizon. The county's hurdle rate for capital projects is 12 percent. Use Appendix A for your reference. Note: Use appropriate factor(s) from the tables provided. Required: 1. Compute the initial cost of the investment in the long runway. 2. Compute the annual net cost or benefit from the runway. 3-a. Determine the IRR on the proposed long runway