Suppose there is a water project, in where $100,000,000 has been spent. Additional cost is needed is $200,000,000. When completed the project will yield total $150,000,000. There is an argument when the project should completed. Otherwise the first $100,000,000 will have been wasted. What comment and recommendation is needed for the project© BrainMass Inc. brainmass.com August 20, 2018, 2:15 pm ad1c9bdddf
Suppose the management decides to go ahead and complete the project.
Total Cost of project = $100,000,000 + $200,000,000 = $300,000,000
The economics for water projects are determined.