Discussion
The conventional benefit cost ratio is benefits less disbenefits divided by
Answer: A
Correct answer: costs
\[ B/C = \frac{B - D}{C}. \] Disbenefits are subtracted from benefits in the numerator, leaving the denominator as the agency’s costs alone. This is the conventional form, and it must be identified as such because the modified form gives a different number from the same figures.
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