Challenge 5. There are four options for building a new road that would shorten t

Question

Challenge 5. There are four options for building a new road that would shorten the distance between two cities, reduce congestion on existing improve sa many dangerous curves. A committee has been formed to select the best option, and they are reviewing the results of analyses as presented in the following table. Explain how you would create a single measure that encompasses all of these criteria. roads, and improve safety by diverting traffic from a narrow road with Options for Building a New Road Miles Saved Relative to Expected Reduction in Maintenance Option Investment Cost Cost/year Existing Route Fatalities/Year $100 million $120 million $140 million $160 million $10 million $10 million $8 million $7 million 2.5

Explanation / Answer

The criteria should be :

Let the major is K then

K proportional to 1/ investment cost (P)

K proportional to 1/ maintenance cost (Q)

K proportional to miles saved (R)

K proportional to Reduction in fatalities (S)

K= X* R*S /(P*Q)

suppose X equal for every given condition

Option D is best among given conditions

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