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A calculate the net benefits assuming no discounting b


1) An intervention has the following costs and benefits.

                                   Yr 0                Yr 1                Yr 2

Benefits                      1000               4000               3000

Costs                          4000               1000               1000

a. Calculate the net benefits assuming no discounting

b. Calculate net benefits assuming a 5% discount rate

  • $1,671.20

c. Does a higher rate of discount make this intervention seem more or less attractive? Why?

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Business Management: A calculate the net benefits assuming no discounting b
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