Question
Download Solution PDFThe total annual cost of highway transportation (A) may be expressed as (where B = annual cost of highway, C = Annual cost of single vehicle and N = Total number of vehicles on the road per year)
Answer (Detailed Solution Below)
Detailed Solution
Download Solution PDFExplanation:
- The highway project follows the principle that benefits must justify the expenditure incurred on the improvement.
- The total annual cost of highway transportation (A) may be expressed as: A = CN + B
Where A = total annual cost of highway transportation, B = annual cost of the highway, C = Annual cost of single vehicle and N = Total number of vehicles on the road per year
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