What is the eac for the optimal policy

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Reference no: EM131809957

Any town's Street Department repaves a street every 8 years. Potholes cost $10,000 per mile beginning at the end of year 3 after construction or repaving. The cost to fix potholes generally increases by $10,000 each year. Repaving costs are $120,000 per mile. Any town uses an interest rate of 6%. What is the EAC for Any town's policy? What is the EAC for the optimal policy? What is the optimal policy?

Reference no: EM131809957

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