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YOU WILL MAKE A FINAL STATEMENT ANSWERING YOUR ESSENTIAL QUESTION. ADD IT JUST BELOW YOUR TITLE. Was Alexander the Great An Effective Leader?
When to use a cost benefit analysis ( CBA )?
It should not be treated as authoritative or accurate when considering investments or other financial products. Cost Benefit Analysis (CBA) is a technique which seeks to bring greater objectivity into the decision making.
How is CBA used in the private sector?
In the private sector, financial CBA is used to justify equipment and technology investment, measure life cycle costs, meet regulations cost-effectively and quantify hidden costs and intangible benefits. It is also useful to demonstrate how outsourcing and leasing can result in cost savings and how quality improvements can affect returns.
How is CBA used to evaluate public spending?
CBA may provide a framework designed to identify accurately where the costs and benefits fall, so that a political judgement may be completed as to their satisfactoriness. CBA is a widely used technique which evaluates public spending and aims to avoid inappropriate distribution of public resources.
Last Update: Oct 2021
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