How would one create a cost/benefit analysis with the given information? I am getting gradually lower amounts when i calculate pv for the following years. Thanks!
2019 2020 2021 2022 2023 Total $200.00 $200.00 $200.00 $200.00 $200.00 Insurance Savings |Storage Savings Staff Reduction (1 Less Person) $8,000.00 $1,000.00 $2,000.00 $1,100.00 $12,300.00 $8,000.00 $8,000.00 $8,000.00 $8,000.00 $1,000.00 $1,000.00 $1,000.00 $1,000.00 $2,120.00 $2,247.20 $2,382.03 $2,524.95 $1,100.00 $1,100.00 $1,100.00 $1,100.00 Increased Business Faster Processing $12,420.00 $12,547.20 $12,682.03 $12,824.95 $11,482.99 $11,154.42 $10,840.65 $10,541.18 Total Benefits Pv of Benefits $11,826.92 Pv of all benefits $3,000.00 $2,500.00 $1,200.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 1 Server 2 New Workstation @ $1250 1 Printer Fax / Copier Machine $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $300.00 $500.00 $9,000.00 $16,500.00 $0.00 $0.00 $0.00 $0.00 $998.09 $1,023.05 $1,048.62 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 1 Server Software 2 Workstation Software @ $250 Development labor total development cost $950.00 $450.00 $1,500.00 $2,900.00 $19,400.00 $973.75 $461.25 $1,537.50 $1,575.94 $1,615.34 $1,655.72 $2,972.50 $3,046.81 $3,122.98 $3,201.06 $2,972.50 $3,046.81 $3,122.98 $3,201.06 hardware $472.78 $484.60 $496.72 software operational labor total operational costs total costs $18,653.85 $2,748.24 $2,708.61 $2,669.54 $2,631.04 Pv of costs $18,653.85 Pv of all costs Total Project Benefits - Costs Yearly NPV Cumulative NPV Return on Investment Break-Even Point Intangible Benefits 2019 2020 2021 2022 2023 Total $200.00 $200.00 $200.00 $200.00 $200.00 Insurance Savings |Storage Savings Staff Reduction (1 Less Person) $8,000.00 $1,000.00 $2,000.00 $1,100.00 $12,300.00 $8,000.00 $8,000.00 $8,000.00 $8,000.00 $1,000.00 $1,000.00 $1,000.00 $1,000.00 $2,120.00 $2,247.20 $2,382.03 $2,524.95 $1,100.00 $1,100.00 $1,100.00 $1,100.00 Increased Business Faster Processing $12,420.00 $12,547.20 $12,682.03 $12,824.95 $11,482.99 $11,154.42 $10,840.65 $10,541.18 Total Benefits Pv of Benefits $11,826.92 Pv of all benefits $3,000.00 $2,500.00 $1,200.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 1 Server 2 New Workstation @ $1250 1 Printer Fax / Copier Machine $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $300.00 $500.00 $9,000.00 $16,500.00 $0.00 $0.00 $0.00 $0.00 $998.09 $1,023.05 $1,048.62 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 1 Server Software 2 Workstation Software @ $250 Development labor total development cost $950.00 $450.00 $1,500.00 $2,900.00 $19,400.00 $973.75 $461.25 $1,537.50 $1,575.94 $1,615.34 $1,655.72 $2,972.50 $3,046.81 $3,122.98 $3,201.06 $2,972.50 $3,046.81 $3,122.98 $3,201.06 hardware $472.78 $484.60 $496.72 software operational labor total operational costs total costs $18,653.85 $2,748.24 $2,708.61 $2,669.54 $2,631.04 Pv of costs $18,653.85 Pv of all costs Total Project Benefits - Costs Yearly NPV Cumulative NPV Return on Investment Break-Even Point Intangible Benefits
