Construct a bridge-decide equivalent uniform annual worth

Reference no: EM13685080

Lubbock County is planning to construct a bridge across the Rio de Lubbock to facilitate afternoon skiing in the El Dusto Ski Basin. The first cost for the bridge will amount to $6,500,000. Annual maintenance and repairs will amount to $25,000 for each of the first five years, to $30,000 for each of the next ten years and to $35,000 for each of the next five years. In addition, a main overhaul costing $500,000 will be needed at the end of the tenth year. Use an interest rate of 5 percent and decide the equivalent uniform annual worth for a 20-year period.

Reference no: EM13685080

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