Question: 1 7 . Two possible routes for a power line are under study. In both cases the power line will last 1 5 years, have

17. Two possible routes for a power line are under study. In both cases the power line will last 15 years, have no salvage value, have annual property taxes of 2% of first cost, and have a yearly power loss of $500/km.
Around the Lake Under the Lake
length (km.)155
IC ($/km.) $9,000 $25,000
O&M ($/km./yr) $200 $300
useful life (yr.s)1515
a) If 6% is used, should the power line be routed around the lake or under it?
b) What aspects of the environment do you think would be most affected by a power line, and what policies and technologies are being used to eliminate or mitigate concerns?

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