The benefit-cost ratio for an activity is equal to:
A) the total value of its benefits divided by the total value of its cost.
B) the marginal private benefits the good provides less any additional external or third-party benefits.
C) the present value of its benefits divided by the present value of its cost.
D) the marginal private benefits the good provides divided by any additional external or third-party costs.
E) the present value of its benefits less the present value of its cost.
Correct Answer:
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