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A snow removal company wants to determine their benefit-cost ratio for the last 20 years. During this time, the company purchased snow removal equipment for $800,000, and spent $60,000 for annual maintenance costs. Additionally, $175,000 revenue was generated each year. if the interest rate is 10%, determine the benefit to cost ratio USING EQUIVALENT UNIFORM ANNUAL ANALYSIS. Select the closest amswer.

(10 pts) A snow removal company is trying to evaluate their benefit to cost ratio for the last 20 years. During this time, th
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Answer #1

Annual uniform costs will be

=(800000+(60000*((1-(1+10%)^(-20))/10%)))/((1-(1+10%)^(-20))/10%)

=153967.70

benefit to cost ratio

=175000/153967.70

=1.14

the above is answer..

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