Cost/benefit Analysis Is a Useful Tool in Policy Analysis

question 62

Multiple Choice

Cost/benefit analysis is a useful tool in policy analysis. It can be used to ______.

• A) forecast the likely impact of various possible policy alternatives
• B) provide information about the scope and nature of a problem
• C) analyze the efficiency of various possible policy alternatives
• D) judge the effectiveness of an implemented policy

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Definitions:

Cash Management

The process of collecting, managing, and investing a company's cash flow efficiently.

Principles

Fundamental concepts or beliefs that drive decision-making processes and practices within various disciplines, including ethical values in business or foundational laws in science.

Days' Sales Uncollected

A financial metric indicating the average number of days it takes a company to collect payment after a sale is made.

Accounts Receivable

Amounts owed to a company by customers for goods or services provided on credit, considered an asset on the balance sheet.