Cost-Benefit Analysis Calculator (Excel)
An Excel tool for project analysts to test whether a project or option is economically worthwhile. You enter costs and benefits over up to 20 years: recurring items with start and end years and annual growth, plus one-off amounts entered year by year. The calculator then produces: net present value (NPV) and the present values of benefits and costs benefit-cost ratio (BCR) and internal rate of return (IRR) simple and discounted payback equivalent annual net benefit a decision rule (viable / marginal / not viable) It also tests nine scenarios (higher or lower costs and benefits, worst case, different discount rates, and one you define). It shows switching values (how much costs could rise, or benefits fall, before NPV reaches zero) and how NPV changes with the discount rate. A one-page Summary with charts is ready to copy into reports. How to use: Inputs: enter the project name, currency, Year 0, analysis period, discount rate and residual value. Note the source of each key assumption. Costs: list recurring costs in Section A and one-off costs, such as construction or equipment replacement, in Section B. Benefits: enter benefits the same way, with each benefit valued in money terms. Results: check the year-by-year discounted cash flow and the key results. Proceed if NPV is above 0 and BCR is above 1. Sensitivity: check how robust the result is, and edit the custom scenario if needed. Summary: use the one-page summary and charts in your report. Before use: replace the example figures with your own project data. Type only in the blue cells; black and green cells calculate automatically.