An Engineer makes the following cost estimates for each: A: Concrete Bleachers: First cost, $350,000. Life, 90 years. Annual upkeep costs $2000. B: Wooden Bleachers: The first-year cost for of the project includes ground preparation, painting, seats, and bleachers. Painting costs $10,000 every three years. seats cost $40,000 every 15 years. bleachers cost $100,000 every 30 years. Ground preparation is $50,000 and, will last the entire 90-year period.  Given i=7%: For B: The annual cost of Ground prep is __? The total annual cost of B is about? The annual cost of seats is about__? What is the annual cost of A?

Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
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An Engineer makes the following cost estimates for each:

A: Concrete Bleachers: First cost, $350,000. Life, 90 years. Annual upkeep costs $2000.

B: Wooden Bleachers: The first-year cost for of the project includes ground preparation, painting, seats, and bleachers. Painting costs $10,000 every three years. seats cost $40,000 every 15 years. bleachers cost $100,000 every 30 years. Ground preparation is $50,000 and, will last the entire 90-year period.  Given i=7%:

For B:

The annual cost of Ground prep is __?

The total annual cost of B is about?

The annual cost of seats is about__?

What is the annual cost of A?

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