Perform a cost benefit analysis on the proposed project

Reference no: EM131926084

Question: The City of Evanston is considering purchasing a new fleet of police cars. The initial cost of the fleet is $500,000. The city expects operations and maintenance costs to be $10,000 per year for the first four years and expects benefits (associated with a more efficient police force) to be $170,000 per year for the first four years. Assuming the City of Evanston has a discount rate of 4.5%, perform a cost benefit analysis on this proposed project over the four year period providing a recommendation and numerical justification for your recommendation.

Reference no: EM131926084

Questions Cloud

Identify a case and write a paper describing the cases focus : What role has each interest group played in American politics? Provide two (2) examples for each group.

Describe the formation of an aqueous ki : Describe the formation of an aqueous KI solution, when solid KI dissolves in water.

Examine the model performance on the validation set : Examine the model performance on the validation set. What is the accuracy rate? Is one type of misclassification more likely than the other?

Calculate time to disintegrate the sample : Calculate time to disintegrate the sample from an initial activity of 8.5 * 10^4 dpm to 7.4 * 10^3 dpm. Here, dpm is disintegrations per minute

Perform a cost benefit analysis on the proposed project : The City of Evanston is considering purchasing a new fleet of police cars. The initial cost of the fleet is $500,000.

Write down the formula for the value of the firm : Write down the formula for the value of the firm (V) at t=0 in terms of g and z. For z=0.195, calculate V for these cases: z=0.05, 0.125, 0.18, 0.19

Articles of confederation and the constitution embodied : Americans in the late eighteenth century believed that government must be kept weak in order to prevent the rise of tyranny and to guarantee

Create a version of your newsreader implementation : Create a version of your newsreader implementation that contains a defect in (your implementation of) enabling condition. Write a unit test that exposes defect.

Describe the rise of nazism in germany : Describe the rise of Nazism in Germany. Indicate the conditions present in Germany that made it possible for Hitler to come to power.

User Account

All Pages