Which project should you select

Reference no: EM133494702

Problem: Project A has a first cost of $1,250,000 and will produce a $40,000 net annual benefit over its 50-year life. Project B costs $1,250,000 and produces an $75,000 net annual benefit over its 50-year life. ODOT uses 3% annual interest to evaluate their project. Which project should you select?

Reference no: EM133494702

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