Required information Use the following information to answer questions 4547 Whe following information applies tho the quels tions displayed below) Washington County's Board of Representatives is cons sidering the con struction of a longer runway at the county airport. Currently, the airport can hande only private airchaft and small commuter lets. A hev, long runway would enable the airpoit to handle the midsize jets used on many domestic flights. Data plittintent to the board s decision appear below. I addition to the preceding data, two other facts are relevant to the decision. First, a fonger runway will require a new 5monich cost $105,000. The did snowplow could be sold now for $10,500. The new, larger plow will cost \$6:000 more in annualoperating costs. Second, the County Board of Representatives believes that the oroposed long Iumay, and the mojo jet service it will bring to the county, will increase economic activity in the community, The board projects that the inceased economic activity will resut in $68.000 per year in additional tax revenue for the courty. In analyzing the rumay proposal, the board has decided to use a 10 -year time horizon. The county's hurdle rate for capittat projects is 12 percent. Use A Problem 16-47 Internal Rate of Return; Sensitivity Analysis (Section 1) (LO 16-1, 16-3) 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. The County Board of Representatives believes that f the county conducts a promotional effort costing $30,500 per year. the proposed long runway wili resuit in substantially greater economic development than was projected originally. However, the board Is yncertain about the actual increase in cqunty tax rejvente that will restilt. Requifed: Suppose the board builds the long runway and conducts the promotional campaligh. What would the increase in the county's annual tax revenueneed to be in order for the proposid runuwayls interna nate of rotum to loqual the county's hurdle rate of 12 percent? (Round your intermediete calculations and final answirn to the nearest whol dollath) 17 Table II Table III Required information Use the following information to answer questions 4547 Whe following information applies tho the quels tions displayed below) Washington County's Board of Representatives is cons sidering the con struction of a longer runway at the county airport. Currently, the airport can hande only private airchaft and small commuter lets. A hev, long runway would enable the airpoit to handle the midsize jets used on many domestic flights. Data plittintent to the board s decision appear below. I addition to the preceding data, two other facts are relevant to the decision. First, a fonger runway will require a new 5monich cost $105,000. The did snowplow could be sold now for $10,500. The new, larger plow will cost \$6:000 more in annualoperating costs. Second, the County Board of Representatives believes that the oroposed long Iumay, and the mojo jet service it will bring to the county, will increase economic activity in the community, The board projects that the inceased economic activity will resut in $68.000 per year in additional tax revenue for the courty. In analyzing the rumay proposal, the board has decided to use a 10 -year time horizon. The county's hurdle rate for capittat projects is 12 percent. Use A Problem 16-47 Internal Rate of Return; Sensitivity Analysis (Section 1) (LO 16-1, 16-3) 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. The County Board of Representatives believes that f the county conducts a promotional effort costing $30,500 per year. the proposed long runway wili resuit in substantially greater economic development than was projected originally. However, the board Is yncertain about the actual increase in cqunty tax rejvente that will restilt. Requifed: Suppose the board builds the long runway and conducts the promotional campaligh. What would the increase in the county's annual tax revenueneed to be in order for the proposid runuwayls interna nate of rotum to loqual the county's hurdle rate of 12 percent? (Round your intermediete calculations and final answirn to the nearest whol dollath) 17 Table II Table