Thus, for the unprotected Class BB mooring of Table 23, 

 500 500 



P = 



(1 + 0.05)° (1 + 0.05)1 (1 + QQ5)2 



70,500 



;i + 0.05)' 



= 99,193 



The equivalent annual payment, N*, of the present value, P, for 

 n years at rate r is given by: 



r(1 + r)" 



(1 + r)" - 1 



Thus, for the unprotected Class BB mooring of Table 23, 



0.05(1 + 0.05)2° 



N = 99,193 !^ = 6,453 



(1 + 0.05)3° _ T 



Table 25 indicates that an annual savings of about $2,000 to $4,500, 

 depending upon mooring size and configuration, may be realized in the 

 maintenance and replacement of moorings. 



This analysis does not consider the eventual replacement of the 

 buoy. The cathodically protected buoy will not deteriorate appreciably 

 underwater and will deteriorate no faster above water than the unprotected 

 buoy. A better mooring design would appear to be one utilizing a low- 

 maintenance plastic mooring buoy^^'^^ in conjunction with cathodically 

 protected ground tackle. 



The equivalent annual payment is the uniform amount that, if paid annually 

 throughout the useful life of the project, would equal the present value (discounted) 

 total. 



41 



