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    Cost benefit Analysis for public projects

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    Attached are two problems that I can't figure out. They are not for homework but my instructor said that it would be helpful to understand them in preparation for the final.

    If you have time, please work 12.7 and 12.8 and show me how you did them. The text is fundamentals of engineering economics (Chan S. Park). Thank you.

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    Solution Preview

    See the attached file. thanks.

    A B C
    Initial cost $8,000,000 $10,000,000 $12,000,000

    Annual Benefits
    Power sales $1,000,000 $1,200,000 $1,800,000
    Flood savings control $250,000 $350,000 $500,000
    Irrigation benefits $350,000 $450,000 $600,000
    Recreation benefits $100,000 $200,000 $350,000

    O&M ...

    Solution Summary

    A cost benefit analysis for public projects are examined.