Question: A new bridge project is being evaluated at i = 5%. Recommend an alternative based on the capitalized cost for each. What is the Capitalized

A new bridge project is being evaluated at i = 5%. Recommend an alternative based on the capitalized cost for each.

What is the Capitalized Cost for Concrete?

What is the Capitalized Cost for Steel?

\begin{tabular}{lrrc} & \begin{tabular}{c} Construction \\ Cost \end{tabular} & \multicolumn{1}{c}{\begin{tabular}{c} Annual \\ O\&M \end{tabular}} & \begin{tabular}{c} Life \\ (years) \end{tabular} \\ \hline Concrete & $50 million & $250,000 & 70 \\ Steel & 40 million & 500,000 & 50 \\ \hline \end{tabular}

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