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A calculate the net benefits assuming no discounting b

1) An intervention has the following costs and benefits.

Yr 0 Yr 1 Yr 2

Benefits 1000 4000 3000

Costs 4000 1000 1000

a. Calculate the net benefits assuming no discounting

b. Calculate net benefits assuming a 5% discount rate

$1,671.20

c. Does a higher rate of discount make this intervention seem more or less attractive? Why?

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Business Management: A calculate the net benefits assuming no discounting b

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