Suppose that a Baton Rougehomeowner is considering a project to plant several trees in her front and back yards. Planting the trees would involve an upfront (year 0) expense of $1,000. Starting in year 1, the homeowner would incur an additional expense of $100 per year to maintain the trees (trimming, monitoring health, etc.). The trees would provide several benefits directly to the homeowner, including shade (lowering cooling costs in the summer) and improving the scenery. The monetary value of these benefits to the homeowner is $150 per year, starting in year 1.The trees would also benefits to the residents of the neighborhood and beyond. The trees would reduce air pollution, reduce ambient noise levels in the neighborhood, reduce stormwater runoff, and improve the aesthetics of the area, among other possible benefits. The monetary value of these external benefits is $100 per year, starting in year 1.