成本收搬益分析.pptVIP

成本收益分析Cost-Benefit Analysis Public Finance Introduction Cost-benefit analysis is a set of practical procedures for guiding public expenditure decisions. Future Value（终值）：Present Dollars into the Future Suppose you invest $100 today in the bank . . . At the end of year 1, it is worth (1+.05)x$100, or $105 At the end of year 2, it is worth (1+.05)x$105, or $110.25 The interest compounds over time, that is, the interest is also earning interest. Future Value: Present Dollars into the Future Define R = initial investment amount r = rate of return on investment T = years of investment The futur