Net benefit
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The estimated annual cash flows for a proposed city governement project are costs of $450,000 per year, benefits of $600,000 per year, and disbenefits of $100,000 per year. Determine the (a) B/C ratio and (b) value of B - C.
Need to show excel formula
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Solution Summary
Net benefit is examined for the difficulty in economics.
Solution Preview
Since the costs and benefits all occur annually, we can simply use the EXCEL command:
Net benefit = Benefit - ...
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