cost benefit analysis 0

STUCK with your assignment? When is it due? Hire our professional essay experts who are available online 24/7 for an essay paper written to a high standard at a reasonable price.

Order a Similar Paper Order a Different Paper
Use the net present value methodology when creating a cost-benefit analysis to evaluate the following project:

The State of Massachusetts would like to replace a National Guard armory rapidly reaching the end of its service life. The Department of Military Affairs has been told that continued special maintenance would be $275,000 annually. Rehabilitation of facility would cost $4,000,000, and would extend the armory’s service life by 15 years.

  1. Calculate the discount factor for each year (use 4% discount rate @ 15 years)
  2. Calculate the annual present value cost of maintenance (15 years)
  3. Calculate the discounted benefit of rehabilitating the armory
  4. Given the discounted cost of rehabilitation, what is the cost- benefit ratio for the proposal?

Be sure to include information regarding the following items when completing your evaluation of the project:

  • the objectives of the project
  • the demand and consumer surplus of the project
  • a categorization of the project expenses
  • an estimation of potential delays

Everyone needs a little help with academic work from time to time. Hire the best essay writing professionals working for us today!

Get a 15% discount for your first order

Order a Similar Paper Order a Different Paper