Answered

Discover the answers to your questions at Westonci.ca, where experts share their knowledge and insights with you. Discover detailed answers to your questions from a wide network of experts on our comprehensive Q&A platform. Explore comprehensive solutions to your questions from knowledgeable professionals across various fields on our platform.

A cost-benefit analysis of a highway is difficult to conduct because analysts a. are unlikely to have access to costs on similar projects. b. cannot estimate the explicit cost of a project that has not been completed. c. are not able to consider the opportunity cost of resources. d. will have difficulty estimating the value of the highway.

Sagot :

Lanuel

Answer:

d. will have difficulty estimating the value of the highway.

Explanation:

Cost-benefit analysis (CBA) is used to examine and compare the cost associated with a project or task and the benefits derived from it.

Simply stated, cost-benefit analysis is a form of utilitarianism commonly used by individuals, business firms and government in the decision-making process, as all the cost incurred are determined and analyzed.

This ultimately implies that, it may be used to determine how changes in differing levels of activities such as costs and volume affect a company's operating income and net income.

Cost-benefit analysis (CBA) sums the total cost associated with a project (activity) and compares this cost against the total benefits that would be generated. Thus, it helps in the decision-making process by comparing the net present value (NPV) of the cost of a particular project with the net present value (NPV) of its benefits.

In this context, the cost-benefit analysis of a highway would be difficult to conduct because analysts will have difficulty estimating the value of the highway.

This ultimately implies that, the value or cost benefits associated with the highway is difficult to ascertain or estimate.

We appreciate your visit. Hopefully, the answers you found were beneficial. Don't hesitate to come back for more information. Thank you for your visit. We're committed to providing you with the best information available. Return anytime for more. Thank you for choosing Westonci.ca as your information source. We look forward to your next visit.