A consultant, after 3 months of work, reported that the modified B/C ratio for a city-owned hospital heliport project is 1.7. If the initial cost is $1 million and the annual benefits are $150,000, what is the amount of the annual M&O costs used in the calculation? The report stated that a discount rate of 6% per year and an estimated life of 30 years were used.

ENGR.ECONOMIC ANALYSIS
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A consultant, after 3 months of work, reported that
the modified B/C ratio for a city-owned hospital
heliport project is 1.7. If the initial cost is $1 million
and the annual benefits are $150,000, what is the
amount of the annual M&O costs used in the calculation?
The report stated that a discount rate of
6% per year and an estimated life of 30 years were
used.

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