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Question 4 (20 Total Marks) Practical Application This question is about project appraisal Sappose a project is being planned for 2023 that is aimed at
Question 4 (20 Total Marks) Practical Application This question is about project appraisal Sappose a project is being planned for 2023 that is aimed at the prevention of health problems, through this hypothetical country). It is expected that this project will reduce the incidence of the disease in question for two years. In economic terms, the benefits of the project are: 1) an increase in production due to better worker productivity, as well as an increase in the labour force due to lower morbidity. 2) the direct value of better bealth itself. The table above shows the estimates of these benefits. Note that the initial cost of the project does not need to be discounted; the 2024 benefits are to be discounted one year and the 2025 benefits are to be discounted 2 years
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