The Maxwell School

Syracuse University

Syracuse University

Renovations to the Carrier Dome were expected to cost about $118 million. Suppose that the upgrades all have a useful life of 30 years, and that the University uses an 8% interest rate in present value calculations.

- Please draw an appropriate cash flow diagram and calculate the annual levelized cost of the upgrade to the nearest $100,000. You may assume $118 million is the present value of all of renovation costs (that is, it is already the PV of the actual costs).

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URL: https://wilcoxen.maxwell.insightworks.com/pages/5077.html

Peter J Wilcoxen, The Maxwell School, Syracuse University

Revised 05/26/2023

URL: https://wilcoxen.maxwell.insightworks.com/pages/5077.html

Peter J Wilcoxen, The Maxwell School, Syracuse University

Revised 05/26/2023