Question: Two possible routes for a power line are under study. Data on the routes are as follows: If 7% interest is used, should the power

Two possible routes for a power line are under study. Data on the routes are as follows:

If 7% interest is used, should the power line be routed around the lake or under the lake?

Under the Lake 5 krm $25,000k Lengih First cost Maintenace Useful life, in years Salvage value Yearly power loss Annual property taxes Around the Lake 15 km 5000/km $200/km/y 15 $3000km 500km 2% of first cost $40km/yr 15 $5000/km $500/km 2% of first cost

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Around the Lake EUAC 75000 AP 7 15 12000 45000 AF 7 15 75000 01098 12000 45000 003... View full answer

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