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Street lighting fixtures and their sodium vapor bulbs for a two-block area of a large city need to be installed at a first cost investment
Street lighting fixtures and their sodium vapor bulbs for a two-block area of a large city need to be installed at a first cost investment cost) of $120,000. Annual maintenance expenses are expected to be $6,500 for the first 20 years and $8,500 for each year thereafter. The lighting will be needed for an indefinitely long period of time. With an interest rate of 10% per year, what is the capitalized cost of this project? Click the icon to view the interest and annuity table for discrete compounding when the MARR is 10% per year. Choose the closest answer below. O A. The capitalized cost of the project is $187,973. OB. The capitalized cost of the project is $175,338 OC. The capitalized cost of the project is $247,703. OD. The capitalized cost of the project is $132,635
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