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The Following Data Are for a Series of Increasingly Extensive

Question 34

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The following data are for a series of increasingly extensive ?ood-control projects.  Total Cost per Year  Total Benefit per Year  Plan A= Levees $10,000$16,000 Plan B= Small Reservoir 24,00036,000 Plan C= Medium Reservoir 44,00052,000 Plan D= Large Reservoir 72,00064,000\begin{array} { | l | c | c | } \hline & \text { Total Cost per Year } & \text { Total Benefit per Year } \\\hline \text { Plan } A = \text { Levees } & \$ 10,000 & \$ 16,000 \\\hline \text { Plan } B = \text { Small Reservoir } & 24,000 & 36,000 \\\hline \text { Plan } C = \text { Medium Reservoir } & 44,000 & 52,000 \\\hline \text { Plan } D = \text { Large Reservoir } & 72,000 & 64,000 \\\hline\end{array} On the basis of cost-bene?t analysis, government should undertake


A) Plan D.
B) Plan C.
C) Plan B.
D) Plan A.

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