Run your cost-benefit analysis

Learn how to create a detailed cost-benefit analysis that considers both monetary and non-monetary factors for smarter business decisions.
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Finances
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Prompt

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I want to conduct a cost-benefit analysis for
{{project}}
. The analysis should include all potential costs (initial and ongoing), anticipated benefits (tangible and intangible), and quantify them over a
{{period}}
. Please use a
{{rate}}
% discount rate for future cash flows. Include a sensitivity analysis to show how changes in key variables impact the outcome. Also, consider non-monetary factors such as
{{factors}}
. The analysis should help determine whether the project meets our minimum criteria of
{{criteria}}
. I need the final report in
{{format}}
.
Project
Period
Rate
Factors
Criteria
Format

This prompt helps you generate a comprehensive cost-benefit analysis for any project, allowing you to evaluate financial viability while accounting for both quantitative and qualitative factors. It creates a structured assessment to support informed decision-making.

How to Use

  1. Replace the variables with your specific project details
  2. Be thorough when describing non-monetary factors
  3. Review the generated analysis and adjust as needed
  4. Use the output as a foundation for your decision-making process

Variables Explained

  • {{project}} - The name and brief description of the project you want to analyze (e.g., "implementing a new CRM system," "opening a branch office in Seattle")

  • {{period}} - The timeframe over which you want to evaluate costs and benefits (e.g., "5 years," "10 years")

  • {{rate}} - The percentage discount rate to apply to future cash flows for net present value calculations (e.g., "7," "10")

  • {{factors}} - Non-monetary considerations that should be included in the analysis (e.g., "employee satisfaction, environmental impact, brand reputation")

  • {{criteria}} - The minimum threshold or criteria that would make the project acceptable (e.g., "20% ROI," "3-year payback period," "positive NPV")

  • {{format}} - Your preferred presentation format for the final analysis (e.g., "detailed report," "executive summary," "spreadsheet format")

Tips for Better Results

  • Provide detailed information about your project to get a more accurate analysis
  • Include all relevant non-monetary factors that could impact decision-making
  • Set realistic criteria that align with your organization's goals
  • Specify a discount rate that reflects your organization's cost of capital
  • Request sensitivity analysis for variables with high uncertainty
  • Consider asking for visual representations of data if that would help your decision-making process
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