estment? 8 percent per 1A-12. A state department of transportation is considering replacement of a bridge at a cost of $20 million. The life of the new bridge is 30 years, and it is estimated that improved safety and reduced congestion would be valued by bridge users at $3 million per year. The department uses an interest rate of 10 percent to evaluate capital projects. a. Should this proposal be implemented? h. If not what is the maximum cost of the new bridge that could be justified by the benefits to users