Abstract
Working as the budget director for the mayor of the city of Kelsey, we have recently been getting numerous complaints from the citizens about an increase in crime and also an issue of the public demanding for more police officers. With the population of the city growing daily, the increase of crime is continuing to progress as well. The mayor has informed us that this past year is the highest increase in crime in the city’s history, that the federal government has reduced the federal pass-through money for the state and that the budgeting group needs to revamp the budget for the coming year. Within this document as the…show more content… This process in my opinion is almost like a prediction for what the end result will look like… “In governmental planning and budgeting, the attempt to measure the social benefits of a proposed project in monetary terms and compare them with its costs” ("Cost-Benefit Analysis," 2012). When it comes to looking at different Business decisions that would use the cost-benefit analysis, the reasoning could be, but not limited to “whether or not to add employees, introduce a new technology, purchase equipment, change vendors, implement new procedures, and remodel or relocate facilities” ("Cost-Benefit Analysis," 2012).
According to the Cost-Benefit Analysis (2012), “Cost-benefit analysis is the exercise of evaluating an action's consequences by weighing the pluses, or benefits, against the minuses, or costs. It is the fundamental assessment behind virtually every business decision, due to the simple fact that business managers do not want to spend money unless the resulting benefits are expected to exceed the costs. As companies increasingly seek to cut costs and improve productivity, cost-benefit analysis has become a valuable tool for evaluating a wide range of business opportunities, such as major purchases, organizational changes, and expansions” ("Cost-Benefit Analysis,"
