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Engineering Economy, 5/e

Leland Blank, Texas A&M University
Anthony Tarquin, University of Texas - El Paso

Benefit/Cost Analysis and Public Sector Economics

Matching Quiz

Select the correct answers on the left to fill in the blanks on the right. There are more answers than questions, therefore, some of the items on the right will remain unused. When you have completed the quiz, click the SUBMIT button at the bottom.


1				When a project under consideration involves disadvantages to the owner, these disadvantages in a B/C ratio calculation are known are ________________.


2				In a B/C ratio, an estimate is placed in the denominator when it affects the ___________.


3				In a conventional B/C ratio, the two possible items in the numerator are ___________ and _____________, while the denominator contains the ___________.


4				In a modified B/C ratio, M&O (maintenance and operations) costs are included in the _______________.


4				In comparing multiple mutually exclusive alternatives by the B/C method, it is usually necessary to conduct a (an)___________to identify the best one.


5				Public sector projects usually use_________ interest rates than private sector projects.


6				Capitalized cost comparison is usually performed on ______________.

Answer choices for questions 1 through 6

A)	Benefit and costs, disbenefits
B)	Public sector projects
C)	Government
D)	PW analysis over the LCM of lives
E)	Benefits and disbenefits, costs
F)	Higher
G)	Resultant
H)	Numerator
I)	Incremental analysis
J)	Costs
K)	Disbenefits
L)	Benefactor
M)	Private sector projects
N)	Lower

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