A commercial building design cost $91 /square-foot to construct eight

A commercial building design cost $91 /square-foot to construct eight years ago (for an 77,000.square-foot building). This construction cost has increased 5.5%, per year since then. Presently, your company is considering construction of a 130,000.square-foot building of the same design. The cost capacity factor is X = 0.91. In addition, it is estimated that working capital will be 4%, of construction costs, and that project management, engineering services, and overhead will be 4.2% 8%, and 30% respectively, of construction costs. Also, it is estimated that annual expenses in the next year of operation will be $6/square foot, and these are estimated to increase 5.67% per year thereafter. The future general inflation rate is estimated to be 6.69% per year, and the market-based MARR = 12%, Per Year (im).