The Benefit-Cost Ratio for a Project with an Initial Outlay

question 51

Multiple Choice

The benefit-cost ratio for a project with an initial outlay of $9000 and net cash flows of $5000 p.a.for the next three years and a required rate of return of 10% p.a.is:

• A)$3434.
• B)0.3815
• C)1.21
• D)1.3815

---

Definitions:

Operating Departments

Operating Departments are the units or divisions within an organization responsible for carrying out its primary business activities.