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Cost-benefit ratio

Business Cost overrunCosting system

Cost-benefit ratio
The net present value of an investment divided by the investment's initial cost. Also called the profitability index. ...

 


COST-BENEFIT RATIO - CBR
CBR is a valuation criterion of acceptability and/or preferability of a project. It is calculated as the ratio of benefits to costs.

The cost-benefit ratio of government administration can nowadays play a major role in decisions about where to locate activities, both within a nation and globally.

Benefit-cost ratios (or alternatively cost-benefit ratios) are frequently estimated for many forms of government spending, as well as a growing number of business investments.

which the available alternative means, or cost effectiveness, meets the program goals stated in the appropriation requests. The objective of PPB is to achieve the program objectives by choosing the alternative with the optimal cost-benefit ratio.

cost-benefit ratio
Cost-Of-Funds Index (COFI)
Cost-Of-Living Adjustment (COLA)
cost-of-living index
cost-plus contract
cost-push inflation
cottage industry
council of economic advisers
council of institutional investors ...

See also: Profitability index, Net present value, Cost of capital, Expense, Optimal

Business Cost overrunCosting system

 
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