Your company plans to develop a bridge of an estimated cost of 6 million dollars ($6,000,000) ofestimated development time of one year. After the year, the bridge will be opened for lightweightvehicles and small trucks. The lightweight vehicles and trucks have to pay $5 and $10 toll respectivelyfor each usage of the bridge. If 15,000 lightweight vehicles and 2,500 trucks pass the bridge in everymonth, in which year will the company reach break-even?Suppose your company decided to allow heavy-duty vehicles. The heavy-duty vehicleshave to pay $50 in each pass and 1000 heavy-duty vehicles pass in every month. But,there is a structural fault detected that cost an additional $1,500,000 after two yearsof construction. In this new scenario, in which year will the company reach break-even?

The make back the initial investment point in financial aspects, business — and explicitly cost…

Your company plans to develop a bridge of an estimated cost of 6 million dollars ($6,000,000) of estimated development time of one year. After the year, the bridge will be opened for lightweight vehicles and small trucks. The lightweight vehicles and trucks have to pay $5 and $10 toll respecti for each usage of the bridge. If 15,000 lightweight vehicles and 2,500 trucks pass the bridge in eve month, in which year will the company reach break-even? Suppose your company decided to allow heavy-duty vehicles. The heavy-duty vehicles have to pay $50 in each pass and 1000 heavy-duty vehicles pass in every month. But, there is a structural fault detected that cost an additional $1,500,000 after two years of construction. In this new scenario, in which year will the company reach break-even? T

Your company plans to develop a bridge of an estimated cost of 6 million dollars ($6,000,000) of estimated development time of one year. After the year, the bridge will be opened for lightweight vehicles and small trucks. The lightweight vehicles and trucks have to pay $5 and $10 toll respecti for each usage of the bridge. If 15,000 lightweight vehicles and 2,500 trucks pass the bridge in eve month, in which year will the company reach break-even? Suppose your company decided to allow heavy-duty vehicles. The heavy-duty vehicles have to pay $50 in each pass and 1000 heavy-duty vehicles pass in every month. But, there is a structural fault detected that cost an additional $1,500,000 after two years of construction. In this new scenario, in which year will the company reach break-even? T

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

Your company plans to develop a bridge of an estimated cost of 6 million dollars ($6,000,000) of
estimated development time of one year. After the year, the bridge will be opened for lightweight
vehicles and small trucks. The lightweight vehicles and trucks have to pay $5 and $10 toll respectively
for each usage of the bridge. If 15,000 lightweight vehicles and 2,500 trucks pass the bridge in every
month, in which year will the company reach break-even?
Suppose your company decided to allow heavy-duty vehicles. The heavy-duty vehicles
have to pay $50 in each pass and 1000 heavy-duty vehicles pass in every month. But,
there is a structural fault detected that cost an additional $1,500,000 after two years
of construction. In this new scenario, in which year will the company reach break-even?

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