EFB106 Cost-Benefit Analysis for Project Appraisal
To view more information for this unit, select Unit Outline from the list below. Please note the teaching period for which the Unit Outline is relevant.
| Unit code: | EFB106 |
|---|---|
| Credit points: | 12 |
| Timetable | Details in HiQ, if available |
| Availabilities |
|
| CSP student contribution | $2,174 |
| Pre-2021 CSP student contribution | $1,703 The pre-2021 commonwealth supported place (CSP) contribution amount only applies to students enrolled in a course prior to 2021. To learn more, visit our Understanding your fees page. |
| Domestic tuition unit fee | $3,456 |
| International unit fee | $5,640 |
Unit Outline: Semester 2 2026, Gardens Point, Internal
| Unit code: | EFB106 |
|---|---|
| Credit points: | 12 |
| Coordinator: | Viet Ngu Hoang | vincent.hoang@qut.edu.au |
Overview
Cost Benefit Analysis (CBA) is a key technique used to appraise the relative desirability of competing alternative uses of limited resources. CBA supports decision making with respect to investment alternatives across a range of industries in the public and private sector. CBA has been used intensively in investment projects, socio-economic programmes and policies. The unit provides students with foundational knowledge and basic skills of CBA. Also, learning activities are designed to allow students to take multiple perspectives and sustainability principles in analyzing costs and benefits.
Learning Outcomes
On successful completion of this unit you will be able to:
- Apply the key principles and techniques of Financial Appraisal and Cost Benefit Analysis to evaluate projects and inform investment decisions.
- Critically evaluate a business case or CBA for completeness, reasonableness of assumptions, and adequacy in addressing economic, social, and environmental impacts.
- Recognise how contemporary societal concerns — including distributional impacts, sustainability, and stakeholder considerations — shape project appraisal and approval in professional practice.
- Communicate the findings, limitations, and uncertainties of a project appraisal to a variety of audiences.
Content
The topics discussed in this unit cover three main parts: (1) Financial appraisal tools and techniques, (2) Cost-Benefit Analysis, and (3) Social CBA.
Part 1 introduces students to techniques and tools such as discounting, net present value, internal rate of return, depreciation, inflation, etc. in the context of financial appraisal projects.
Part 2 introduces the basic microeconomic foundations of CBA and various methods for identifying, quantifying, and valuing benefits and costs. Key concepts such as willingness to pay, consumer surplus, producer surplus, opportunity costs and market and non-market valuation techniques will be introduced and applied.
Part 3 exposes students to Social CBA. Topics discussed will be externalities, equity weights and social discounting.
These topics will be discussed in the context of real-world applications. These applications equip students with the knowledge and skills to apply multiple perspectives to the analysis of the welfare impacts and sustainability of industries and communities. Students will work on the actual application of a simple project using an Excel or similar spreadsheet.
QUT Business Capabilities (Undergraduate)
The content and assessment in this unit are aligned with a selection of the following QUT Business Capabilities, also known as Assurance of Learning Goals (AoLs).
Knowledge and Technological Skills (KS)
1.1 Demonstrate and apply integrated discipline (including technical) knowledge across the broad field of business with depth in one or more core business disciplines
1.2 Apply technical and technological skills appropriate and effective for real world business purposes and contexts.
Higher Order Thinking (HO)
2.1 Investigate real-world business issues and situations through the effective analysis, evaluation and synthesis of theory and practice
2.2 Exercise independent judgement and initiative in adapting and applying knowledge and skills for effective planning, problem solving and decision making in diverse contexts.
Professional Communication (PC)
3.1 Use information literacy skills, and communicate effectively and professionally in written forms and using media appropriate for diverse purposes and contexts
3.2 Use information literacy skills, and communicate effectively and professionally in oral forms, appropriate for diverse purposes and contexts.
Teamwork and Self (TS)
4.1 Exercise self-reflection, responsibility and accountability in relation to own learning and professional practice.
4.2 Apply teamwork knowledge and skills for effective collaboration across diverse purposes and contexts
Social, Ethical and Global Understanding (SE)
5.1 Demonstrate and apply knowledge of ethical and legal principles and practices in analysing and responding to business issues
5.2 Demonstrate and apply knowledge of socially responsible behaviour in analysing and addressing business issues in national and international business contexts.
Learning Approaches
The unit will be delivered in weekly three-hour lecture plus tutorial-workshop blocks. Tutorial-workshop sessions will also involve some Excel-based activities.
Students will learn to apply logical and critical thinking to the use of Cost Benefit Analysis as a tool for project appraisal, with reference to a range of industries and issues, including ethical and social responsibility considerations.
In accordance with QUT policy, all units are to be subject to Criterion Referenced Assessment (CRA). The unit coordinator will provide students with further details regarding CRA during the course of the semester.
Students should refer to the unit Canvas site for the latest information.
Feedback on Learning and Assessment
Students will receive feedback in various forms throughout the semester, which may include:
- Informal: worked examples, such as verbal feedback in class, personal consultation.
- Formal: in writing, such as checklists (e.g. criteria sheets), written commentary.
- Direct: to individual students, either in written form or in consultation.
- Indirect: to whole class
Assessment
Unit Grading Scheme
7- point scale
Assessment Tasks
Assessment: Simulated Case Study
This simulated case study has three interconnected parts:
Part A: Involves a series of analyses/tasks, including calculating costs and benefits, undertaking sensitivity analysis, analysis of results presented in Excel.
Part B: An oral presentation during tutorials.
Part C: A video reflection.
Part B of this assessment item requires your attendance at your scheduled tutorial/session. The late submission period does not apply, and no assignment extensions are available for Part B
Part A and Part C are eligible for the 48-hour late submission period and assignment extensions.
The ethical and responsible use of generative artificial intelligence (GenAI) tools is authorised for this assessment. See the relevant assessment details in Canvas for specific guidelines.
Formative or Summative: Formative and Summative
Business Capabilities (AoL goals): KS (1.1, 1.2), HO (2.1), PC (3.2)
Assessment: Final Exam
This invigilated examination requires attendance on campus or at an assessment centre, regardless of your attendance mode for the unit.
The use of generative artificial intelligence (GenAI) tools is prohibited during this assessment.
Formative or Summative: Formative and Summative
Business Capabilities (AoL goals): KS (1.1), HO (2.1, 2.2) PC (3.1), SE (5.2)
Academic Integrity
Academic integrity is a commitment to undertaking academic work and assessment in a manner that is ethical, fair, honest, respectful and accountable.
The Academic Integrity Policy sets out the range of conduct that can be a failure to maintain the standards of academic integrity. This includes, cheating in exams, plagiarism, self-plagiarism, collusion and contract cheating. It also includes providing fraudulent or altered documentation in support of an academic concession application, for example an assignment extension or a deferred exam.
You are encouraged to make use of QUT’s learning support services, resources and tools to assure the academic integrity of your assessment. This includes the use of text matching software that may be available to assist with self-assessing your academic integrity as part of the assessment submission process.
Breaching QUT’s Academic Integrity Policy or engaging in conduct that may defeat or compromise the purpose of assessment can lead to a finding of student misconduct (Code of Conduct – Student) and result in the imposition of penalties under the Management of Student Misconduct Policy, ranging from a grade reduction to exclusion from QUT.
Resources
Other resources to be provided on Canvas.
Resource Materials
Prescribed text(s)
Donald G. Newnan, Jerome P. Lavelle and Ted G. Eschenbach: Engineering Economic Analysis; Oxford University Press, E-book, Edition 2012 (available in QUT online database)
Recommended text(s)
Boardman; Greenberg; Vining; Weimer 2014. Cost-Benefit Analysis. Concepts and Practice. Pearson New International Edition.
JENKINS, GLENN P; CHUN-YAN KUO and ARNOLD C HARBERGER. 2011. Cost-benefit analysis of investment decisions. Available at http://ayousefi.iut.ac.ir/sites/ayousefi.iut.ac.ir/files/u99/cost-benefit_analysis_for_investment_decisions.pdf (If this link does not work, please google the title and authors)
Risk Assessment Statement
There are no out-of-the-ordinary risks associated with learning and teaching activities associated with this unit.
Standards/Competencies
This unit is designed to support your development of the following standards\competencies.
Engineers Australia Stage 1 Competency Standard for Professional Engineer
3: Professional and Personal Attributes
Relates to: Simulated Case Study
Relates to: Final Exam
Relates to: Simulated Case Study
Unit Outline: Semester 2 2026, Online
| Unit code: | EFB106 |
|---|---|
| Credit points: | 12 |
Overview
Cost Benefit Analysis (CBA) is a key technique used to appraise the relative desirability of competing alternative uses of limited resources. CBA supports decision making with respect to investment alternatives across a range of industries in the public and private sector. CBA has been used intensively in investment projects, socio-economic programmes and policies. The unit provides students with foundational knowledge and basic skills of CBA. Also, learning activities are designed to allow students to take multiple perspectives and sustainability principles in analyzing costs and benefits.
Learning Outcomes
On successful completion of this unit you will be able to:
- Apply the key principles and techniques of Financial Appraisal and Cost Benefit Analysis to evaluate projects and inform investment decisions.
- Critically evaluate a business case or CBA for completeness, reasonableness of assumptions, and adequacy in addressing economic, social, and environmental impacts.
- Recognise how contemporary societal concerns — including distributional impacts, sustainability, and stakeholder considerations — shape project appraisal and approval in professional practice.
- Communicate the findings, limitations, and uncertainties of a project appraisal to a variety of audiences.
Content
The topics discussed in this unit cover three main parts: (1) Financial appraisal tools and techniques, (2) Cost-Benefit Analysis, and (3) Social CBA.
Part 1 introduces students to techniques and tools such as discounting, net present value, internal rate of return, depreciation, inflation, etc. in the context of financial appraisal projects.
Part 2 introduces the basic microeconomic foundations of CBA and various methods for identifying, quantifying, and valuing benefits and costs. Key concepts such as willingness to pay, consumer surplus, producer surplus, opportunity costs and market and non-market valuation techniques will be introduced and applied.
Part 3 exposes students to Social CBA. Topics discussed will be externalities, equity weights and social discounting.
These topics will be discussed in the context of real-world applications. These applications equip students with the knowledge and skills to apply multiple perspectives to the analysis of the welfare impacts and sustainability of industries and communities. Students will work on the actual application of a simple project using an Excel or similar spreadsheet.
QUT Business Capabilities (Undergraduate)
The content and assessment in this unit are aligned with a selection of the following QUT Business Capabilities, also known as Assurance of Learning Goals (AoLs).
Knowledge and Technological Skills (KS)
1.1 Demonstrate and apply integrated discipline (including technical) knowledge across the broad field of business with depth in one or more core business disciplines
1.2 Apply technical and technological skills appropriate and effective for real world business purposes and contexts.
Higher Order Thinking (HO)
2.1 Investigate real-world business issues and situations through the effective analysis, evaluation and synthesis of theory and practice
2.2 Exercise independent judgement and initiative in adapting and applying knowledge and skills for effective planning, problem solving and decision making in diverse contexts.
Professional Communication (PC)
3.1 Use information literacy skills, and communicate effectively and professionally in written forms and using media appropriate for diverse purposes and contexts
3.2 Use information literacy skills, and communicate effectively and professionally in oral forms, appropriate for diverse purposes and contexts.
Teamwork and Self (TS)
4.1 Exercise self-reflection, responsibility and accountability in relation to own learning and professional practice.
4.2 Apply teamwork knowledge and skills for effective collaboration across diverse purposes and contexts
Social, Ethical and Global Understanding (SE)
5.1 Demonstrate and apply knowledge of ethical and legal principles and practices in analysing and responding to business issues
5.2 Demonstrate and apply knowledge of socially responsible behaviour in analysing and addressing business issues in national and international business contexts.
Learning Approaches
The unit will be delivered in weekly three-hour lecture plus tutorial-workshop blocks. Tutorial-workshop sessions will also involve some Excel-based activities.
Students will learn to apply logical and critical thinking to the use of Cost Benefit Analysis as a tool for project appraisal, with reference to a range of industries and issues, including ethical and social responsibility considerations.
In accordance with QUT policy, all units are to be subject to Criterion Referenced Assessment (CRA). The unit coordinator will provide students with further details regarding CRA during the course of the semester.
Students should refer to the unit Canvas site for the latest information.
Feedback on Learning and Assessment
Students will receive feedback in various forms throughout the semester, which may include:
- Informal: worked examples, such as verbal feedback in class, personal consultation.
- Formal: in writing, such as checklists (e.g. criteria sheets), written commentary.
- Direct: to individual students, either in written form or in consultation.
- Indirect: to whole class
Assessment
Unit Grading Scheme
7- point scale
Assessment Tasks
Assessment: Simulated Case Study
This simulated case study has three interconnected parts:
Part A: Involves a series of analyses/tasks, including calculating costs and benefits, undertaking sensitivity analysis, analysis of results presented in Excel.
Part B: An oral presentation during tutorials.
Part C: A video reflection.
Part B of this assessment item requires your attendance at your scheduled tutorial/session. The late submission period does not apply, and no assignment extensions are available for Part B
Part A and Part C are eligible for the 48-hour late submission period and assignment extensions.
The ethical and responsible use of generative artificial intelligence (GenAI) tools is authorised for this assessment. See the relevant assessment details in Canvas for specific guidelines.
Formative or Summative: Formative and Summative
Business Capabilities (AoL goals): KS (1.1, 1.2), HO (2.1), PC (3.2)
Assessment: Final Exam
This invigilated examination requires attendance on campus or at an assessment centre, regardless of your attendance mode for the unit.
The use of generative artificial intelligence (GenAI) tools is prohibited during this assessment.
Formative or Summative: Formative and Summative
Business Capabilities (AoL goals): KS (1.1), HO (2.1, 2.2) PC (3.1), SE (5.2)
Academic Integrity
Academic integrity is a commitment to undertaking academic work and assessment in a manner that is ethical, fair, honest, respectful and accountable.
The Academic Integrity Policy sets out the range of conduct that can be a failure to maintain the standards of academic integrity. This includes, cheating in exams, plagiarism, self-plagiarism, collusion and contract cheating. It also includes providing fraudulent or altered documentation in support of an academic concession application, for example an assignment extension or a deferred exam.
You are encouraged to make use of QUT’s learning support services, resources and tools to assure the academic integrity of your assessment. This includes the use of text matching software that may be available to assist with self-assessing your academic integrity as part of the assessment submission process.
Breaching QUT’s Academic Integrity Policy or engaging in conduct that may defeat or compromise the purpose of assessment can lead to a finding of student misconduct (Code of Conduct – Student) and result in the imposition of penalties under the Management of Student Misconduct Policy, ranging from a grade reduction to exclusion from QUT.
Resources
Other resources to be provided on Canvas.
Resource Materials
Prescribed text(s)
Donald G. Newnan, Jerome P. Lavelle and Ted G. Eschenbach: Engineering Economic Analysis; Oxford University Press, E-book, Edition 2012 (available in QUT online database)
Recommended text(s)
Boardman; Greenberg; Vining; Weimer 2014. Cost-Benefit Analysis. Concepts and Practice. Pearson New International Edition.
JENKINS, GLENN P; CHUN-YAN KUO and ARNOLD C HARBERGER. 2011. Cost-benefit analysis of investment decisions. Available at http://ayousefi.iut.ac.ir/sites/ayousefi.iut.ac.ir/files/u99/cost-benefit_analysis_for_investment_decisions.pdf (If this link does not work, please google the title and authors)
Risk Assessment Statement
There are no out-of-the-ordinary risks associated with learning and teaching activities associated with this unit.
Standards/Competencies
This unit is designed to support your development of the following standards\competencies.
Engineers Australia Stage 1 Competency Standard for Professional Engineer
3: Professional and Personal Attributes
Relates to: Simulated Case Study
Relates to: Final Exam
Relates to: Simulated Case Study