Legacy Airport Authority (LAA) is considering construction of a reliever airport in Faridville County, which is about 30 miles away from Legacy International Airport (LIA), to reduce current congestion at LIA. The initial investment is estimated to be $1,200 million with an annual operating cost of $50 million in year 1 increasing by $10 million per year. This is a 20-year project with annual benefit (airport revenues) of $200 million in year 1 increasing by $20 million per year and a disbenefit to the public of $5 million per year. LAA is planning to sell the airport to Faridville County at a price of $500 million at the end of 20 years which is considered the salvage value of the project. Using conventional benefit/cost ratio with PW values and a MARR of 8 percent, determine whether or not this reliever airport project is economically justified? 8.6