question archive What formula should be used to calculate benefits to cost ratio? BCR = (benefits of the program)/ (Cost of the Program) BCR= (Cost of the Program/ Benefits) / (Benefits of the program) BCR= (Benefits/ Cost of the Program) /( Cost of the Program) BCR = (Cost of the Program / Benefits) / Cost of the Program)
What formula should be used to calculate benefits to cost ratio? BCR = (benefits of the program)/ (Cost of the Program) BCR= (Cost of the Program/ Benefits) / (Benefits of the program) BCR= (Benefits/ Cost of the Program) /( Cost of the Program) BCR = (Cost of the Program / Benefits) / Cost of the Program)
Subject:BusinessPrice:2.86 Bought8
What formula should be used to calculate benefits to cost ratio?
- BCR = (benefits of the program)/ (Cost of the Program)
- BCR= (Cost of the Program/ Benefits) / (Benefits of the program)
- BCR= (Benefits/ Cost of the Program) /( Cost of the Program)
- BCR = (Cost of the Program / Benefits) / Cost of the Program)
Purchase A New Answer
Custom new solution created by our subject matter experts
GET A QUOTE
Answer Preview
- Option 1: BCR = (benefits of the program)/ (Cost of the Program)
Step-by-step explanation
Benefit to cost ratio = Sum of total benefits/sum of total costs. Basically dividing the present value of benefits by that of costs and investments.
A benefit-cost ratio (BCR) is an indicator showing the relationship between the relative costs and benefits of a proposed project, expressed in monetary or qualitative terms.
If a project has a BCR greater than 1.0, the project is expected to deliver a positive net present value to a firm and its investors.
The higher the BCR the better the investment. The general rule of thumb is that if the benefit is higher than the cost the project is a good investment. The practice of cost-benefit analysis in some countries refers to the BCR as the cost-benefit ratio, but this is still calculated as the ratio of benefits to costs.
