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Estimated Cost Alternatives (present value) Useful life Element Year A B Row 40 $0 $40,000 $60,000 Grading 40 $50,000 $320,000 $420,000 Structures 40 $30,000 $220,000 $370,000 Pavement $40,000 $340,000 $280,000 Distance 13 miles 8 miles 7.5 miles Annual Maintenance $1000/mile for all alternatives Total Road user costs (annual) $ 261,000 $ 181,000 $ 170,000 By use of the benefit-cost method determine which of the three alternatives should be recommended, if A- Alternative B- C- any. 40 years, 8% interest = 0.08386 20 years, 8% interest = 0.10185 CRF=(A/P) for 20

Estimated Cost Alternatives (present value) Useful life Element Year A B Row 40 $0 $40,000 $60,000 Grading 40 $50,000 $320,000 $420,000 Structures 40 $30,000 $220,000 $370,000 Pavement $40,000 $340,000 $280,000 Distance 13 miles 8 miles 7.5 miles Annual Maintenance $1000/mile for all alternatives Total Road user costs (annual) $ 261,000 $ 181,000 $ 170,000 By use of the benefit-cost method determine which of the three alternatives should be recommended, if A- Alternative B- C- any. 40 years, 8% interest = 0.08386 20 years, 8% interest = 0.10185 CRF=(A/P) for 20

Structural Analysis
Structural Analysis
6th Edition
ISBN:9781337630931
Author:KASSIMALI, Aslam.
Publisher:KASSIMALI, Aslam.
Chapter2: Loads On Structures
Section: Chapter Questions
Problem 1P
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A highway department is considering three alternative routes between two locations. The
rate of interest is 8%. 

Estimated Cost Alternatives (present value) Useful life Element Year A B C Row 40 $0 $40,000 $60,000 Grading 40 $50,000 $320,000 $420,000 Structures 40 $30,000 $220,000 $370,000 Pavement 20 $40,000 $340,000 $280,000 Distance 13 miles 8 miles 7.5 miles Annual Maintenance $1000/mile for all alternatives Total Road user costs (annual) $ 261,000 $ 181,000 $ 170,000 By use of the benefit-cost method determine which of the three alternatives should be recommended, if А- Alternative В- C- any. 40 years, 8% interest = 0.08386 20 years, 8% interest = 0.10185 CRF=(A/P) for
Transcribed Image Text:Estimated Cost Alternatives (present value) Useful life Element Year A B C Row 40 $0 $40,000 $60,000 Grading 40 $50,000 $320,000 $420,000 Structures 40 $30,000 $220,000 $370,000 Pavement 20 $40,000 $340,000 $280,000 Distance 13 miles 8 miles 7.5 miles Annual Maintenance $1000/mile for all alternatives Total Road user costs (annual) $ 261,000 $ 181,000 $ 170,000 By use of the benefit-cost method determine which of the three alternatives should be recommended, if А- Alternative В- C- any. 40 years, 8% interest = 0.08386 20 years, 8% interest = 0.10185 CRF=(A/P) for
Answer the following questions: a) What is the annual cost of alternative A?. b) What is the annual cost of alternative B? c) What is the annual cost of alternative C?. d) What is the saving or benefit of alternative B compare to A? e) What is the saving or benefit of alternative C compare to A?, f) What is the saving or benefit of alternative C compare to B? g) Using B/C ratio which alternative is better B vs A? h) Using B/C ratio which alternative is better B vs C? i) Using B/C ratio which alternative is better C vs A?, j) Using B/C ratio which alternative is the best among all alternatives?
Transcribed Image Text:Answer the following questions: a) What is the annual cost of alternative A?. b) What is the annual cost of alternative B? c) What is the annual cost of alternative C?. d) What is the saving or benefit of alternative B compare to A? e) What is the saving or benefit of alternative C compare to A?, f) What is the saving or benefit of alternative C compare to B? g) Using B/C ratio which alternative is better B vs A? h) Using B/C ratio which alternative is better B vs C? i) Using B/C ratio which alternative is better C vs A?, j) Using B/C ratio which alternative is the best among all alternatives?
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