Question 4 Table 3 Overall cost of a construction project General Cost Value Initial investment $10,000 Construction cos
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Question 4 Table 3 Overall cost of a construction project General Cost Value Initial investment $10,000 Construction cos
Question 4 Table 3 Overall cost of a construction project General Cost Value Initial investment $10,000 Construction cost of A $20,000 Construction cost of B $6,000 Annual operation & maintenance cost for A $7,000 Market value $5,000 Evaluate the feasibility of the project noted in Table 3 at MARR =10% (i%) in utilizing the BC-ratio approach based on the following considerations, taking N=10 years: i. In considering the benefit only if the annual benefit is $2,000 (5 marks) ii. In considering both the benefit ($2,000) and disbenefit ($5,000) (5 marks) Page 3 of 4