There are two methods under consideration for improving security at a county jail. Select one based on a B/C analysis at an interest rate of 7% per year and a 10-year study period. ExtraNewCameras (EC) Sensors (NS)First cost, $38,00087,000Annual M&O,$ per yearBenefits, S per yearDisbenefits, S per year49,00074,000110,000130,00026,00018,000

The formula of calculating Benefit-Cost ratio is: Incremental B-C Ratio=AW of net benefitsAW of cost…

Answered: Extra New Cameras (EC) Sensors (NS)…

Extra New Cameras (EC) Sensors (NS) First cost, $ 38,000 87,000 Annual M&O, $ per year Benefits, S per year Disbenefits, S per year 49,000 74,000 110,000 130,000 26,000 18,000

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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Question

There are two methods under consideration for improving security at a county jail. Select one based on a B/C analysis at an interest rate of 7% per year and a 10-year study period.

Extra
New
Cameras (EC) Sensors (NS)
First cost, $
38,000
87,000
Annual M&O,
$ per year
Benefits, S per year
Disbenefits, S per year
49,000
74,000
110,000
130,000
26,000
18,000

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