D-77 A beautiful bridge is being built over the river (hat runs through a major city in your state. The cont of the bridge is estimated at $600 million. Annual costs of the bridge will be $200,000, and the bridge is estimated to last a very long time. If accoun- tants in city hall use 3% as the interest rate for analysis, what is the annualized cost of the bridgo project? (a) $18 million (b) $18.2 million (c) $20,000 million (d) $219,500 million
D-77 A beautiful bridge is being built over the river (hat runs through a major city in your state. The cont of the bridge is estimated at $600 million. Annual costs of the bridge will be $200,000, and the bridge is estimated to last a very long time. If accoun- tants in city hall use 3% as the interest rate for analysis, what is the annualized cost of the bridgo project? (a) $18 million (b) $18.2 million (c) $20,000 million (d) $219,500 million
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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
Transcribed Image Text:D-77 A beautiful bridge is being built over the river that
runs through a major city in your state. The cont
of the bridge is estimated at $600 million. Annual
costs of the bridge will be $200,000, and the bridge
is estimated to last a very long time. If accoun-
tants in city hall use 3% as the interest rate for
analysis, what is the annualized cost of the bridyo
project?
(a) $18 million
(b) $18.2 million
(c) $20,000 million
(d) $219,500 million
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