Time Value of Money Utilizing the Present Worth Calculation
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The city bridge inspection team had noted 4 bridges that need replacement. Resources are available to do one of these. Proposals to repair them have been received as follows. Also shown are the number of vehicles per year that use each bridge that is an indicator of the size of the problem if the bridge would fail. Using a 10 year time span and a discount rate (MARR) of 7%, which one should be chosen.
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Solution Summary
An evaluation of the best bridge to repair using the Present Worth calculation on the minimum acceptable rate of return (MARR).
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