Business, 20.07.2021 02:20 aschool2000

The first cost of grading and spreading gravel on a short rural road is expected to be $700,000. The road will have to be maintained at a cost of $25,000 per year. Even though the new road is not very smooth, it allows access to an area that previously could be reached only with off-road vehicles. This improved accessibility has increased the property values along the road from $400,000 to $700,000. The conventional B/C ratio at a discount rate of 6% per year for a 10-year study period is closest to:

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The first cost of grading and spreading gravel on a short rural road is expected to be $700,000. The...