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nadezda [96]
4 years ago
15

In cost benefit analysis why must there be a single common unit?

Business
1 answer:
stich3 [128]4 years ago
4 0

Answer:

Explanation:

In a cost benefit analysis, you have to have a common unit so that you are able to make a comparison. As the old saying goes, it is hard to compare apple to oranges. To know if a product is worth the investment, we must use money as a common unit for comparison's sake.

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3 years ago
A company is considering a capital investment of $16,000 in new equipment which will improve production and increase cash flows
AnnyKZ [126]

Answer:

PAYBACK PERIOD

Year        Cashflow       Cummulative cashflow

                     $                           $

 0            (16,000)               (16,000)

  1             8,000                  (8,000)

  2            6,000                  (2,000)

  3            5,000                   3000

  4            6,000

  5            5,000

Payback period

= 2 years + 2,000/5,000

= 2.4 years

Explanation:

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7 0
4 years ago
How many barrels of oil are in the strategic petroleum reserve.
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Answer:

714 million barrels

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In the U.S., the __________ has the role of managing the money supply and interest rates.
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Answer:

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Explanation:

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