A potential site for a reservoir is being evaluated for two mutually exclusive options: a small water supply reservoir or a large flood control reservoir. Cost and benefit data on the two options are provided below. Interest rate to be used is 10%. Each alternative has an initial cost, an annual operating cost, and an annual benefit. Each alternative also has a mid-life maintenance cost that occurs 20 years after the start of the project.
A potential site for a reservoir is being evaluated for two mutually exclusive options: a small water supply reservoir or a large flood control reservoir. Cost and benefit data on the two options are provided below. Interest rate to be used is 10%. Each alternative has an initial cost, an annual operating cost, and an annual benefit. Each alternative also has a mid-life maintenance cost that occurs 20 years after the start of the project.
Chapter2: Loads On Structures
Section: Chapter Questions
Problem 1P
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Question
![A potential site for a reservoir is being evaluated for two mutually exclusive options: a small water supply
reservoir or a large flood control reservoir. Cost and benefit data on the two options are provided below.
Interest rate to be used is 10%. Each alternative has an initial cost, an annual operating cost, and an annual
benefit. Each alternative also has a mid-life maintenance cost that occurs 20 years after the start of the
project.
Alternative 1 (Water Supply ($
Alternative 2 (Flood Control ($
million))
million))
Initial cost
52
71
Annual operating cost
0.6
0.4
Annual benefit
10
11
Maintenance cost in year
2
20
Lifetime (years)
44
44
Compute PWNB of Alternative 1 and 2
precision guide: [0.000, 0.000]
] •
answer
Compute EUANB of Alternative 1 and 2
precision guide: [0.000, 0.000]
answer
What is the best option using PWNB and EUANB
precision guide: [integer, integer]
]] •
answer](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F994c7565-fc8f-430b-b109-c0b79a9b5a13%2Fe35062c6-9bb3-4ee8-a0ee-f7b231dd3c59%2Fp9d8cwi_processed.jpeg&w=3840&q=75)
Transcribed Image Text:A potential site for a reservoir is being evaluated for two mutually exclusive options: a small water supply
reservoir or a large flood control reservoir. Cost and benefit data on the two options are provided below.
Interest rate to be used is 10%. Each alternative has an initial cost, an annual operating cost, and an annual
benefit. Each alternative also has a mid-life maintenance cost that occurs 20 years after the start of the
project.
Alternative 1 (Water Supply ($
Alternative 2 (Flood Control ($
million))
million))
Initial cost
52
71
Annual operating cost
0.6
0.4
Annual benefit
10
11
Maintenance cost in year
2
20
Lifetime (years)
44
44
Compute PWNB of Alternative 1 and 2
precision guide: [0.000, 0.000]
] •
answer
Compute EUANB of Alternative 1 and 2
precision guide: [0.000, 0.000]
answer
What is the best option using PWNB and EUANB
precision guide: [integer, integer]
]] •
answer
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