Question: 10.5 The following data are available for two mutually exclusive projects: Project A Project B PW[benefits) 217 000 000 217 000 000 PW[operating and maintenance

10.5 The following data are available for two mutually exclusive projects: Project A Project B PW[benefits) 217 000 000 217 000 000 PW[operating and maintenance costs) 5 000 000 11 000 000 PW[capital cost) 6 000 000 1 000 000 a. Compute the benefit-cost ratios for both projects. b. Compute the modified benefit-cost ratios for both projects. c. Compute the benefit-cost ratio for the increment between the projects. d. Compute the present worths of the two projects. e. Which is the preferred project? Explain

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