Definition/ Meaning/ Explanation
The comparison of costs of the input and the output to provide an overall result. If the benefits outweigh the cost, then the overall generation of money can be expected. However, in case of higher costs than benefits, the particular investment or decision would not yield positive results.

Diagrams


Originated from/Coined by


Further Reading/ References
https://www.investopedia.com/terms/c/cost-benefitanalysis.asphttps://en.wikipedia.org/wiki/Cost%E2%80%93benefit_analysis

Category: Learning, Thinking        Tags: Cost-benefit Analysis, Mental Models