5 compare the annual costs of two types of pavement

5. Compare the annual costs of two types of pavement structures) WBM with thin
bituminous surface at total cost of Rs. 2.2 lakhs per km, life of 5 years, interest at
10%, salvage value of Rs. 0.9 lakhs after 5 years, annual average maintenance cost
of Rs. 0.35 lakhs per km and Bituminous macadam base and bituminous concrete
surface, total cost of Rs. 4.2 lakhs per km, life of 15 years, interest at 8%, salvage
value of Rs. 2.0 lakhs at the end of 15 years ; annual average maintenance cost of Rs.
0.25 lakhs per Ion. (Dec 14, June/July 2015, June/July 2013)
Soln:
Annual cost of pavement with WBM base and thin bituminous surface
= (2.2 -0.9 CRF) ( i= 0.08, n= 5) + 0.1*0.9+0.35
= 1.3*0.2638+.09+0.35
0.78Lakhs
Annual cost of bituminous pavement
= (4.2 -2.0) CRF ( i= 0.08, n= 5) + 0.08*2+0.25
= 2.2*0.1168+0.16+0.25
0.66 Lakhs
Annual cost of bituminous is lower compared to the WBM pavement
6. Explain briefly the various factors affecting vehicle operation coat.( June/July 2013,
June/July 2014, June/July 2015)

7. Write a brief note on highway financing in India. (June/July 2013, Dec 2013)
Basic principle in highway financing is that the funds spent on highways are recovered from the
road users. The recovery may be both direct and indirect. Two general methods of highway
financing are:
Pay-as-you-go method
Credit financing method
In pay-as-you-go method, the payment for highway improvements, maintenance and operation is
made from the central revenue. In credit financing method, the payment for highway
improvement is made from borrowed money and this amount and the interests are re-paid from
the future income.