F2b Investment decision criteria A state ports authority is investigating three mutually exclusive proposals for improving the ship channel to one of the ports. The projects primarily differ in the water depth, which allows certain vessels to use the port. The MARR is 15% Because of heavy sediment flow, the lifetime of each project is only five (5) years. Details are as follows, some intermediate values have been computed. Alternative A Investment at time 0 2100 Annual benefits 1500 Annual optg, costs 270 PV of benefits 5028 PV of ann. optg costs 905 1600 1150 200 3855 670 2300 1600 350 5364 1173 Use the benefit-cost ratio (BCR) to determine the best decision for the state ports authority