Tree plantings and other beautification features

Assignment Help Business Economics
Reference no: EM13771364

A proposal has been made for improving the downtown area of a small town. The plan calls for banning vehicular traffic on the main street and turning this street into a pedestrian mall with tree plantings and other beautification features. This plan will involve actual costs of $6,000,000 and, according to its proponents; the plan will produce benefits and disbenefits to the town as follows:

Benefits:

Increased sales tax revenue $450,000 per year

Increased real estate property taxes $325,000 per year

Benefits due to decreased air pollution $80,000 per year

Quality of life improvements to users $70,000 per year

Disbenefits:

Increased maintenance $175,000 per year

a. Compute the BC ratio of this plan based on a

MARR of 10% per year and an infinite life for the project. (10.7)

b. How does the BC ratio change for a 20-year project life? (10.7)

Reference no: EM13771364

Questions Cloud

Assume a perfectly competitive market structure : Assume a perfectly competitive market structure. Complete the diagram to show the profit maximizing price and quantity. Label each (use Insert textbox). Is the firm earning economic profits or losses? If so, what will occur over the long-term?
Defender v. the challenger by the annual cost method : A company currently has a machine (defender) which was purchased 9 years ago at a cost of $70,000 and an expected annual operating cost of $ 16,000. It was expected to last 15 years with a salvage value of $ 18,000. Analyze the defender (new) v. the ..
Explore how these might work in practice : Discuss the changes to the ways of working for Phab - i.e. discuss what processes will change, and explore how these might work in practice.
Upd communication- low overhead versus relaibilities : UPD communication: low overhead versus relaibilitiesDescribe its essential purpose, how it works, and anything that is interesting about it in your initial post.
Tree plantings and other beautification features : A proposal has been made for improving the downtown area of a small town. The plan calls for banning vehicular traffic on the main street and turning this street into a pedestrian mall with tree plantings and other beautification features.
What professional ethical issues exist : What professional ethical issues exist for corrections officers to engage in this behavior? How could this behavior adversely impact your cell block corrections officer's unit
Consumers frequently prefer bundled telecommunications : About two-thirds of all households now purchase two or more bundled telecommunications services from the same company (e.g., local telephone, long distance telephone, video, cell phone, Internet, etc.). Explain why consumers frequently prefer bundled..
What are the strengths and weaknesses of the stated mission : Wolfe, N. (2011). The living organization: Transforming business to create extraordinary results. Irvine, CA: Quantum Leaders Publishing.As Wolfe explains (2011, pp. 81-84): Within organizations, the Context field is often incorrectly referred to as ..
Describe the steps you have taken to maintain and redesign : Describe the steps you have taken to maintain and redesign your site(basic website beginner). How is the process that you followed similar to or different from how sites are maintained and redesigned in the professional environment

Reviews

Write a Review

Business Economics Questions & Answers

  How does lower and middle management decision differ

How does lower and middle management decision management differ from upper-management in terms of basic economics.

  What is the equation for the chunzheng''s long-run

Given your results from above, what is the equation for the Chunzheng's long-run total cost curve as a function of quantity Q. How much does it cost to produce 27,000 units?

  Calculate the yield to maturity on this bond

Divide the gain or loss by the number of years to maturity to calculate the average annual gain/loss. Calculate the yield to maturity on this bond.

  What is elasticity of aggregate demand over this interval

What happens to the aggregate quantity demanded in nominal terms over this interval? Using the formula for price elasticity of demand what is the elasticity of aggregate demand over this interval?

  Determine which should be selected on the basis of rate

The manager of a canned food processing plant is trying to decide between two labelingmachines. Determine which should be selected on the basis of rate of return with a MARR of 20%per year.

  Qconsider a market consists of a dominant rm producing the

q.consider a market consists of a dominant rm producing the majority of the market supply and large number of small

  Sweetgrass radiology labs has a fixed amount of radiology

Sweetgrass Radiology Labs has a fixed amount of radiology equipment. The laboratory can hire any number of radiology technicians per hour to produce radiographs, which are displayed on a screen.

  What is the total holding cost for year using this policy

The annual demand for a product has been projected at 2,500 units. This demand is assumed to be constant throughout the year. The ordering cost is $30 per order, and the holding cost is 40 percent of the purchase cost. Currently, the purchase cost is..

  The town of cuomoville

If planned aggregate expenditure (PAE) in an economy equals 2,000 + 0.48Y and potential output (Y*) equals 4,000, then this economy.

  What is its profit-maximizing sales quantity and price

Kalamazoo Competition-Free Concrete (KCC) is a local monopolist of ready-mix concrete. what is its profit-maximizing sales quantity and price? what is the value of MC at profit maximizing sales quantity

  Q1 suppose we have two economies- lets call them earth and

q1. suppose we have two economies- lets call them earth and mars- that are identical except that one begins with a

  1 write down on a paper analyzing dissimilar approaches

1. write down on a paper analyzing dissimilar approaches that might be used by keynesian theorists and2. monetary

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd