A consultant, after 3 months of work, reported that the modified B/C ratio for a city-owned hospital heliport project is 1.3. If the initial cost is $2.5 million and the annual benefits are $130,000, what is the amount of the annual M&O costs used in the calculation? The report stated that a discount rate of 11% per year and an estimated life of 30 years were used. The M&O cost is $

Traffic and Highway Engineering
5th Edition
ISBN:9781305156241
Author:Garber, Nicholas J.
Publisher:Garber, Nicholas J.
Chapter13: Evaluating Transportation Alternatives
Section: Chapter Questions
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A consultant, after 3 months of work, reported that the modified B/C ratio for a city-owned
hospital heliport project is 1.3. If the initial cost is $2.5 million and the annual benefits are
$130,000, what is the amount of the annual M&O costs used in the calculation? The report
stated that a discount rate of 11% per year and an estimated life of 30 years were used.
The M&O cost is $
Transcribed Image Text:A consultant, after 3 months of work, reported that the modified B/C ratio for a city-owned hospital heliport project is 1.3. If the initial cost is $2.5 million and the annual benefits are $130,000, what is the amount of the annual M&O costs used in the calculation? The report stated that a discount rate of 11% per year and an estimated life of 30 years were used. The M&O cost is $
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