An industrial parkis beingplannedfora tract oflandnear the
Chapter , Problem 10-33(choose chapter or problem)
An industrial parkis beingplannedfora tract oflandnear the river. To prevent flood damage to the indus- trial buildings that will be built on this low-lyingland, an earthen embankment can be constructed.The height of the embankment will be determinedby an economic analysis of the costs and benefits.The following data have been gathered.Embankment HeightAbove Roadway(m) Initial Cost2.0$100,0002.5165,0003.0300,0003.5400,0004.0550,000AverageFrequencyFlood That Flood LevelLevelAbove WillExceedRoadway (m) Height in Col. 12.0 Once in 3 years2.5 Once in 8 years3.0 Once in 25 years3.5 Once in 50 years4.0 Once in 100 yearsThe embankment can be expected to last 50 yearsand will require no maintenance. Whenever theflood water flows over the embankment, $300,000of damageoccurs.Should the embankmentbebuilt?If so, to which of the five heights above the road-way? A 12% rate of return is required.
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