Find which project should select if all mutually exclusive

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Several alternative projects involving water supply system are under consideration by the Public Utility Board. The collected data have been summarized as follows (in 1,000s):
Alternatives A B C D E
First Cost $2,000 $100 $700 $1,200 $400
Annual Operating Cost $70 $4 $60 $100 $30
Annual Recreation Benefits $150 $0 $55 $170 $25
Annual Agricultural Benefits $200 $30 $50 $160 $90

All costs are given in thousands of dollars and negligible salvage values are assumed at the end of a 50-year life. Using a social interest rate of 8% in the Benefit/Cost analysis, determine which project(s) should be selected if the alternatives are mutually exclusive?

Reference no: EM13231524

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