Cost Analysis 

The term “cost analysis” is used in a variety of ways, but generally refers to one of three things:

1. The process of assessing the cost effectiveness of a proposed course of action. This may involve an examination of the direct and indirect costs and benefits associated with the proposed action.

2. An examination of past expenditures in order to identify trends or areas where cost savings could be achieved.

3. A review of pricing proposals from suppliers in order to determine which offers the best value.