Washington County's Board of Representatives. is considering the construction of a longer runway at the county airport. Currently, the airport can handle only private aircraft and small commuterjets. A new, long runway would enable the airportto handle the midsize jets used on many domestic ights. Data pertinent to the board's decision appear below. Cost of acquiring additional land for runway $ ?9,506 Cost of runway construction 2?B,006 Cost of extending perimeter fence 19,846 Cost of runway lights 43,686 Annual cost of maintaining new runway 21,506 Annual incremental revenue from landing fees 52,506 In addition to the preceding data, two other facts are relevant to the decision. First, a longer runway will require a new snowplow, which will cost $170,000. The old snowplow could be sold now for $17,000. The new, larger plow will cost $15,000 more in annual operating costs. Second, the County Board of Representatives believes that the proposed long runway, and the majorjet service it will bring to the county, will increase economic activity in the community. The board projects that the increased economic activity will result in $76,000 per year in additional tax revenue for the county. In analyzing the runway proposal, the board has decided to use a 10year time horizon. The county's hurdle rate for capital projects is 11 percent. Use Appendix A for your reference. (Use appropriate factorts} from the tables provided.) Required: 1. Prepare a netpresentvalue analysis ofthe proposed long runway. 2. Should the County Board of Representatives approve the runway considering NPV? 3-a. Which of the data used in the analysis are likely to be most uncertain? 3-b. Which of the data used in the analysis are likely to be least uncertain? Req 1 Req 2 Req 3A Req 3B Prepare a net-present-value analysis of the proposed long runway. (Round your "Annuity discount factor" to 3 decimal places. Negative amounts should be indicated by a minus sign.) Annual incremental benefit 0 Annuity discount factor Present value of annual benefits Initial costs: Net present value $ 0Req 1 Req 2 Req 3A Req 3B Should the County Board of Representatives approve the runway considering NPV? OYes NoReq 1 Req 2 Req 3A Req 3B Which of the data used in the analysis are likely to be most uncertain? (Select which of the following statements (is) are true by selecting an "X".) Cost of acquiring land Annual cost of maintaining new runway Annual incremental revenue from landing fees Cost of new snow plow Cost of runway lights Annual additional tax revenue Salvage value of old snow plowReq 1 Req 2 Req 3A Req BB [ which of the data used in the analysis are likely to be least uncertain? (Select which of the following statements (is) are true by selecting an "X".) Annual additional tax revenue Annual cost of maintaining new runway,r Cost of acquiring land Annual incremental revenue from landing Tees Cost of anway lights Salvage value of old snowr plow Cost of new snow plow