Problem
The state Department of Transportation (DOT) is considering a proposal for an additional turn lane at a busy intersection. The added maintenance costs will be $3000 annually for the next 10 years, and the time savings to motorists are valued at $4000 per year. The improved traffic flow is projected to save .8 statistical lives per year. Using an interest rate of 12% and the NHTSA standard, how much should DOT be willing to pay for the improvement?
The response should include a reference list. Double-space, using Times New Roman 12 pnt font, one-inch margins, and APA style of writing and citations.