Calculate the modified B- C ratio, with PW as the equivalent- worth measure, for the following cash flow estimates of a public project at an interest rate of 2% per year. $$\begin{array} { | l | l | }
\hline \text { Items } & \text { Cash Flow, } \$ \
\hline \text { Initial cost, } \$ & 600,000 \
\hline \text { AW of benefits, } \$ / y r & 580,000 \
\hline \text { PW of disbenefits, } \$ & 580,000 \
\hline \text { O\&M costs, } \$ / y r & 25,000 \
\hline \text { Project life, yr } & 20 \
\hline
\end{array}$$

Question

Calculate the modified B- C ratio, with PW as the equivalent- worth measure, for the following cash flow estimates of a public project at an interest rate of 2% per year. $$\begin{array} { | l | l | } 
\hline \text { Items } & \text { Cash Flow, } \$ \
\hline \text { Initial cost, } \$ & 600,000 \
\hline \text { AW of benefits, } \$ / y r & 580,000 \
\hline \text { PW of disbenefits, } \$ & 580,000 \
\hline \text { O\&M costs, } \$ / y r & 25,000 \
\hline \text { Project life, yr } & 20 \
\hline
\end{array}$$

Quizplus · Accepted Answer

The Answer of Calculate the modified B- C ratio, with PW as the equivalent- worth measure, for the following cash flow estimates of a public project at an interest rate of 2% per year. $$\begin{array} { | l | l | } 
\hline \text { Items } & \text { Cash Flow, } \$ \
\hline \text { Initial cost, } \$ & 600,000 \
\hline \text { AW of benefits, } \$ / y r & 580,000 \
\hline \text { PW of disbenefits, } \$ & 580,000 \
\hline \text { O\&M costs, } \$ / y r & 25,000 \
\hline \text { Project life, yr } & 20 \
\hline
\end{array}$$

Calculate the Modified B- C Ratio, with PW as the Equivalent-