Enter the total potential revenue of the action ($) and the total cost of the action ($) into the Calculator. The calculator will evaluate the Cost Of Doing Nothing. 

Cost Of Doing Nothing Formula

CODN = PR - AC

Variables:

  • CODN is the Cost Of Doing Nothing ($)
  • PR is the total potential revenue of the action ($)
  • AC is the total cost of the action ($)

To calculate the Cost Of Doing Nothing, subtract the cost of the action from the potential revenue of the action.

How to Calculate Cost Of Doing Nothing?

The following steps outline how to calculate the Cost Of Doing Nothing.


  1. First, determine the total potential revenue of the action ($). 
  2. Next, determine the total cost of the action ($). 
  3. Next, gather the formula from above = CODN = PR – AC.
  4. Finally, calculate the Cost Of Doing Nothing.
  5. After inserting the variables and calculating the result, check your answer with the calculator above.

Example Problem : 

Use the following variables as an example problem to test your knowledge.

total potential revenue of the action ($) = 4000

total cost of the action ($) = 1000