Construction Planning and Management
A machine costs Rs. 20000 and its useful life is 8 years. The money is borrowed at 8% interest per annum. The capital recovery factor at 8% interest per annum for 8 years is 0.174. The annual equipment cost of the machine will be

Rs. 3480
Rs. 6960
Rs. 1740
Rs. 5220

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Construction Planning and Management
Preliminary project report for a road project must contain

The several alternatives of the project that have been considered
The contract documents for inviting tenders
The soil survey, traffic survey, concept design and approximate cost
The detailed estimated cost based on detailed design

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Construction Planning and Management
A contractor has two options;(l) : Invest his money in project A or (II) : Invest his money in project B. If he decides to invest in A, for every rupee invested, he is assured of doubling his money in ten years. If he decides to invest in B, he is assured of making his money 1.5 times in 5 years. If the contractor values his money at 10% interest rate, he

should invest in project A
should invest in neither of the two projects
could invest in either of the two projects
should invest in project B

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