3. (30 points) Suppose that a group of landowners wishes to protect their land from flood damage by the construction of a levee. Because the amount of flood damage is related to the volume of water that overflows the levee, the damage estimates are based on the levee height during the hours that there is an overflow. Data on the costs of construction and expected flood damages are shown in the table below: Feet (x) Number of years Probability of river Loss if river Initial cost of A river at being x feet above level is x feet building levee x maximum level normal above levee ($) feet high ($) was x feet above C D E normal B 0 24 0.48 0 0 12 0.24 100,000 100,000 10 8 0.16 150,000 210,000 15 3 0.06 200,000 330,000 20 2 0.04 300,000 450,000 25 0.02 400,000 550,000 Calculate EMV of this project