Question

Cost-benefit analysis is a process that involves which of the following?

Answer 1

Answer:

c. Determining the profit that results from production decisions.

Explanation:

Cost-benefit-analysis( CBA) is a business decision-making tool that helps managers analyze and decides on projects.  The CBA approach compares the total benefits arising from a situation or a project against its related costs before making a decision. This approach uses financial data, such as expected revenues and expenses, to determine the viability of projects.

Undertaking a cost-benefit analysis assists the business to engage in profitable ventures only.  The CBA method ensures a business stays profitable by rejecting proposals that are likely to results in losses.