Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

The Oklahoma City Zoo has proposed adding to their Web site a major segment providing a virtual tour of the grounds and animals, suitable for

The Oklahoma City Zoo has proposed adding to their Web site a major segment providing a virtual tour of the grounds and animals, suitable for both routine enjoyment and educational purposes in classrooms. Survey data indicate that this will have either a neutral or positive effect upon actual zoo attendance. The Web site will be professionally done and have an initial cost of $310,000. Upkeep, refreshing the videos, and developing videos for scientific research and entertainment will cost another $83,000 per year. The zoo is expected to be in operation for an indefinite period; however, a study period of only 10 years for the Web site is to be assumed, with only a residual (salvage) value of $58,000 for the archival value being anticipated. Interest is 10%. An estimated 80,000 persons will visit the e-zoo in the first year, increasing by 31,500 each year, and they will receive, on the average, an additional $0.80 of benefit per visit when the new area is complete.

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Accounting And Finance An Introduction

Authors: Eddie McLaney

7th Edition

2309903011, 9781292012650

More Books

Students also viewed these Accounting questions

Question

How do sex and gender differ?

Answered: 1 week ago