For flood control purposes the government is considering


For flood control purposes, the government is considering three undeveloped sites for a water detention area. The estimated costs associated with each alternative are given below. Use the conventional B-C ratio method, with AW as the equivalent-worth measure, to determine which alternative should be selected at an interest rate of 6 % per year. Assume the site will be used for 17 years before being developed for other purposes. [ Note AMM ]

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Business Economics: For flood control purposes the government is considering
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