Question: Problem 3 (2.5 points) i Atoll road is being considered as a replacement for the current road linking Purdue and Chicago. Investment costs of the

Problem 3 (2.5 points) i Atoll road is being considered as a replacement for the current road linking Purdue and Chicago. Investment costs of the structure are estimated to be $18,500,000, and $470,000 per year in operating and maintenance costs are anticipated. In addition, the road must be resurfaced every fifth year of its 30- year projected life at a cost of $1,500,000 per occurrence (no resurfacing cost in year 30 and the initial surfacing of the road is included in the $18,500,000). Revenues generated from the toll are anticipated to be $3,500,000. Assuming zero market (salvage) value for the bridge at the end of 30 years and a MARR of 11% per year, what is the conventional B-C ratio for this project (please keep two digits after the decimal point)? LTEX @ You have used 0 of 5 attempts Submit

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