The __________ is also called the benefit-cost ratio.
A)Q-sort method
B)profitability index
C)internal rate of return
D)payback period

Question

Quizplus · Accepted Answer

The profitability index, also known as the benefit-cost ratio, is a financial metric that compares the present value of a project's expected future cash flows to the initial investment. The profitability index indicates the value created per unit of investment, making it a useful tool for comparing investment returns across different projects. Therefore, option B is the correct answer.

The __________ Is Also Called the Benefit-Cost Ratio