In Order to Make Worthwhile the Construction of a Bridge

Multiple Choice

In order to make worthwhile the construction of a bridge with a life of 200 years and an estimated rate of return equal to 10 percent per year the market rate of interest must be:

A) not over 2 percent.
B) not over 20 percent.
C) 10 percent or less.
D) 10 percent or more.
E) not sufficient information given to answer this question.