The state of Nebraska has identified three viable sites for a new bridge. The co

Question

The state of Nebraska has identified three viable sites for a new bridge. The costs associated with each bridge are shown. At an interest rate of 8% per year, determine which location is preferred, assuming the bridges will be permanent.

                                 A                B                   C

construction costs,$      50,000,000   75,000,000      60,000,000

Maintenance Cost,$      150,000         130,000           140,000

Benefits, $                  7,600,000       4,100,000       5,900,000

Explanation / Answer

A location is best suitable

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