Discussion
Among mutually exclusive alternatives, the one with the highest benefit cost ratio
Answer: C
Correct answer: is not necessarily the best choice
A ratio is dimensionless and takes no account of scale, so a small scheme with a ratio of 2.0 may deliver far less net benefit than a large one at 1.3. The question is whether each additional increment of spending earns its keep, which requires incremental analysis rather than a ranking of ratios.
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