Cost Benefit AnalysisCompletion of Project Equipment Cost 100,000
Depreciation Term 10 Risk Based Capital Requirements (11%) 11,000
Weighted Average Cost of Capital (WACC)15.00%0.991.992.993.994.99Cash
Savings or InflowsYEAR 1YEAR 2YEAR 3YEAR 4YEAR 5Increase in Revenues
10,000 10,000 12,000 14,000 16,000 Costs or Process Savings 10,000
10,000 10,000 10,000 10,000 Depreciation Recovery 10,000 10,000 10,000
10,000 10,000 Total Cash Inflows 30,000 30,000 32,000 34,000 36,000 Cash
OutflowsYEAR 1YEAR...