This question is about cost benefit analysis.

What is the formula for cost-benefit analysis?

By Zippia Team - Dec. 7, 2022

The formula for cost-benefit analysis is:

Present value of future benefits / Present value of future costs = Benefit-cost ratio

To determine how long it will be until your benefits outweight your costs, use this formula:

Total cost / Total revenue (or benefits) = Length of time (Payback period)

What is the formula for cost-benefit analysis?

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