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Which of the following describes what a cost-benefit ratio of 6 means? ☐Revenue is 1.6 times...

Which of the following describes what a cost-benefit ratio of 6 means?

☐Revenue is 1.6 times the costs

☐Costs are 1.6 times the profit

☐The costs are greater than the benefits

☐Profit is 1.6 times the costs

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Answer #1

Cost benefit ratio = Total costs/Total Revenues

Hence, it reflects cost is x times of revenues

Cost benefit ratio of 1.6 means that

The costs are greater than the benefits

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