[Custify] Cost-Benefit Analysis + Benefit-Cost Ratio Template

	A	B	C	D	E	F
1	Create Website Budget in this worksheet. Helpful instructions on how to use this worksheet are in cells in this column. Arrow down to get started.
2	Enter Company Name in cell at right.	New Product Proposal "Acme"
3	Title of this worksheet is in cell at right.	Cost-Benefits Analysis
4	Enter Date in cell at right.	November 27, 2023
5	Tip is in cell at right.
6	Enter details in Rate table starting in cell at right. Next instruction is in cell A10.	Company Data	Rate
7		Required rate of return	10%
8		Tax rate	21%
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10	Enter details in Initial Invest table starting in cell at right. Next instruction is in cell A16.	Initial Investment	YEAR	1	2	3
11		Hardware	$0.00	$0.00	$0.00	$0.00
12		Software	$0.00	$0.00	$0.00	$0.00
13		Development	$0.00	$0.00	$0.00	$0.00
14		Total Initial Investments	$0.00	$0.00	$0.00	$0.00
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16	Enter details in Benefits table starting in cell at right. Next instruction is in cell A24.	Benefits	YEAR	1	2	3
17		Direct sales	$3,600,000.00	$1,200,000.00	$1,200,000.00	$1,200,000.00
18		Incremental sales resulting from enhanced promotional/salesperson effectiveness	$0.00	$0.00	$0.00	$0.00
19		Incremental sales resulting from increased partner participation	$350,000.00	$0.00	$150,000.00	$200,000.00
20		Sales from partner deals and bundles	$370,000.00	$70,000.00	$100,000.00	$200,000.00
21		Reduced travel costs	$12,000.00	$12,000.00	$0.00	$0.00
22		Reduced customer service costs	$60,000.00	$0.00	$40,000.00	$20,000.00
23		Total Benefits	$4,392,000.00	$1,282,000.00	$1,490,000.00	$1,620,000.00
24
25	Enter details in Costs table starting in cell at right. Values are auto calculated in cells containing formulae. Next instruction is in cell A32.	Costs (Excluding Initial Capital Investments)	YEAR	1	2	3
26		Cost of sales	$550,000.00	$150,000.00	$200,000.00	$200,000.00
27		Maintenance	$220,000.00	$50,000.00	$80,000.00	$90,000.00
28		Project management, customer success & support	$420,000.00	$100,000.00	$160,000.00	$160,000.00
29		Online advertising, search-engine registration	$270,000.00	$90,000.00	$90,000.00	$90,000.00
30		Depreciation on capital expenditures (calculation uses three-year period)	$0.00	$0.00	$0.00	$0.00
31		Total Costs	$1,460,000.00	$390,000.00	$530,000.00	$540,000.00
32
33	Values are auto calculated in Totals table starting in cell at right. Next instruction is in cell A49.	Totals	YEAR	1	2	3
34		Net Benefits (Costs)	$2,932,000.00	$892,000.00	$960,000.00	$1,080,000.00
35		Tax	$603,992.00	$183,752.00	$197,760.00	$222,480.00
36		Value after tax	$2,328,008.00	$708,248.00	$762,240.00	$857,520.00
37		Depreciation added back	$0.00	$0.00	$0.00	$0.00
38		Cash flow	$2,328,008.00	$708,248.00	$762,240.00	$857,520.00
39		Cumulative cash flow		$708,248.00	$1,470,488.00	$2,328,008.00
40
41	Evaluation Metrics are auto calculated in Metrics table starting in cell at right.	Evaluation Metrics	Values
42		Net present value (NPV)	$4,246,087.70
43		Payback period (in years)	0.00
44		Benefit-cost ratio (BCR)	3.01
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46
47		Reasoning
48		1. Project Goals. 2. CBA Goals. 3. Details about initial investment: 4. Benefits consideratins: 4. Cost considerations: 5. Extra comments: 6. Final conclusions and totals:
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