Answer to Question #152290 in Finance for hina_s

Question

Perform detailed Engineering Economics Analysis Process for the following Case Study. Also discuss different aspects such as engineering decision areas, engineering economics principles and predicting the future.
The Great White Hall: Flatland Views city council has advertised for proposals to build anew community center, a library and a theatre but the city council cannot agree on how to evaluate the submitted proposals. The request for proposal (RFP) specified that respondents had to meet certain basic needs, although optional items could be included. The RFP also asked that each respondent calculate a benefit/cost (B/C) ratio using a discount rate of 12%. What are the options for analyzing and making decisions on this public funding proposal? What are the opportunities for negotiation? How do you arrive at the best combination from submitted proposals?

Answer 1

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