# Cost-benefit ratio

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## 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

A ratio of whether or not and how much profit will result from an investment. It is calculated by taking the net present value of expected future cash flows from the investment and dividing by the investment's original cost. A ratio above one indicates that the investment will be profitable while a ratio below one means that it will not. A cost-benefit ratio is also called a profitability index.
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The Pakistan government needs to reassess its current energy mix and devise the country's energy policy based on a cost benefit ratio as well as sustainability and optimal utilisation of indigenous resources.
As for energy and power transmission line to Pakistan is concerned, the Chairman, BOI explained that it is very difficult to buy electricity from Iran and transmits the same through Baluchistan, because the areas of Baluchistan is neither over populated to consume the electricity, nor passing the transmission lines through Baluchistan province to any other province of Pakistan is possible its due to Cost Benefit ratio.
In other words, [N.sub.max] X C = B, implying that the cost benefit ratio r = 1/[N.sub.max].
Cost benefit ratio (CBR) was calculated for each treatment/plot basis in order to determine the most economical and effective control methods for recommendation to the growers.
Cost benefit ratio: To calculate cost benefit ratio; first bunch value (Rs.) denoted by B was determined by multiplying individual bunch weight with prevailing market price per kilogram (Rs.=50), then bunch value was divided by the price per bag (Rs.) denoted by A in Table 2.
Cost benefit ratio was obtained by dividing the net benefit by the revenue while the % cost of feeding to total cost of production was obtained by dividing cost of feeding with total variable costs multiplied by 100.
Economics of various treatments: Adaptability of a system depends upon the cost benefit ratio of the system.
Building a new road through the Rimrose Valley would cost pounds 192m, but would create economic, traffic, and decongestion benefits of pounds 1.1bn - cr e-ating a cost benefit ratio of 5.88.
It gives the option a marginally better cost benefit ratio of 6.01.
Add in the cost benefit ratio of the death penalty and it goes down rapidly.
All we had was pounds 10 million from the Local Transport Plan and the scheme under consideration didn't even meet the Government's cost benefit ratio.

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