Determine the capitalized cost of a permanent roadside historical marker that has a first cost of $82500 and a maintenance cost of $2800 once every 4.00 years. Use an interest rate of 13.00% per year. (Include a minus sign if necessary.) The capitalized cost is $
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- Determine the capitalized cost of a permanent roadside historical marker that has a first cost of $57,500 and a maintenance cost of $3,900 once every 7 years. Use an interest rate of 10% per year. The capitalized cost is $ [61610.814 O Required information Assume that 25 years ago your dad invested $300,000, plus $29,000 in years 2 through 5, and $42,000 per year from year 6 on. At a very good interest rate of 11% per year, determine the CC value. The CC value is determined to be $The following are the costs for one of the alternatives to construct a new bridge: Construction cost = $2200000 M Annual Maintenance cost = $48000 Renovation cost = $800000 every 15 years Based on an interest rate = 5% per year, what is the capitalized cost of this alternative? M RThe cost of maintaining a public monument in Washington, D.C. occurs as periodic outlays of $10,000 every 5 years. If the first outlay is 5 years from now, the capitalized cost of the maintenance at an interest rate of 10% per year is closest to:a. $-1638b. $-16,380c. $-26,380d. $-29,360
- Capitalized cost is an application of perpetuity. It is the sum of the first cost and the present worth of all future payments and replacements. A machine costs P300,000 new, and must be replaced at the end of each 15 years. If the annual maintenance required is P5,000, find the capitalized cost, if money is worth 5% and the salvage value is P50,000. First Cost 300000 Present worth of the annual maintenance cost *Letters only Perpetuity of the depreciation cost Capitalized cost a. 178,700 b. 231,700 c. 321,500 d. 400,500 e. 127,700 a. 372,700 b. 441,700 c. 529,500 d. 609,500 e. 631,700The construction cost of a permanent water park is $550,000. Annual maintenance and operation costs are $100,000 per year. A) At an interest rate of 7% per year, find the capitalized cost of the park in present worth. (Hint: a capitalized cost is when every cost is brought to present worth, in this case the upfront construction costs are current). B) What would be the annualized cost if the whole project was to be financed over 25 years at 6% interest?The required investment cost of a new, large shopping center is $52 million. The salvage value of the project is estimated to be $18 rmillon (the value of the land) The projects life is 18 years and the annual operating expenses ar estimated to be $13 million. The MARR for such projects is 22% per year. What must the minimum annual revenue be to make the shopping center a worthwhile venture? Click the icon to view the interest and annuity table for discrete compounding when the MARR is 22% per year To make the shopping center a worthwhile venture, the minimum annual revenue must be S milion per year (Round to three decimal places)
- SIMPLE INTEREST AND COMPOUND The future value of a cooling tower is $90,000 and the useful life of the tower is estimated to be 10 years. How much must be saved annually in an annuity at an interest rate of 6% to obtain funds enough to replace the tower at the end of 10 years? If the salvage value of the tower is $5,000, determine the value of the asset (that is, the total book value of the tower) at the end of 6 years based on straight-line depreciation.A newly constructed water treatment facility costs $2 million. It is estimated that the facility will need revamping to maintain the original design specification every 30 years at a cost of $1 million. Annual repairs and maintenance costs are estimated to be $100,000. At an interest rate of 8%, determine the capitalized cost of the facility, assuming that it will be used for an indefinite period.A site is under consideration for a bridge over a small river. The suspension bridge will cost $500M with annual inspection and maintenance cost of $350,000. In addition, the concrete deck would have to be reconstructed every 10 years at a cost of $1M. The cost of purchasing the right of way is expected to be $20M. find the capitalized cost.