A city is considering the Base option and the Star option for investment in their public works department for which data is given below. What is the difference between the benefit/cost ratios for the two options?

	BASE OPTION	STAR OPTION
Initial cost	$3,500,000	$5,200,000
Life in years	2	3
Salvage value %	14%	14%
Salvage value $	$490,000	$728,000
Inflation rate p. y.	6%	6%
Other costs 1st year	($300,000)	($765,000)
Increase in other costs p. y.	7%	11%
Benefits in 1st year	$5,000,000	$5,500,000
Increase in benefits p. y.	4%	6%
Interest rate p. y.	9.00%

Group of answer choices

0.11

0.20

0.25

0.28