There are two choices, A and B, for the trenchless replacement of mains in an urban water distribution system (WDS). A $20,000 per week should be paid to the traffic control authorities for traffic jams during the project. The other costs of the two trenchless replacement methods are summarized in Table 8.1 . Compare the two methods in terms of their fixed, variable, and total costs when 20 km of mains should be replaced. For the selected method, how many meters of the mains should be replaced before starting to make a profit, if there is a payment of $30/m of mains replacement?

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TABLE 8.1 Costs of Choices A and B for Trenchless Replacement of Example 8.1 Cost Time taken to complete the project Weekly rental of the site Cost to set up and remove equipment Payment for traffic jam Method A 10 weeks $5,000 $150,000 $20,000/week Method B 6 weeks $1,000 $250,000 $20,000/week