Problem
A road between Fairbanks and Nome, Alaska, will have a most likely construction cost of $4 million per mile. Doubling this cost is considered to have a probability of 30%, and cutting it by 25% is considered to have a probability of 10%. The state's interest rate is 8%, and the road should last 40 years. What is the probability distribution of the equivalent annual construction cost per mile?
The response should include a reference list. Double-space, using Times New Roman 12 pnt font, one-inch margins, and APA style of writing and citations.