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Essay / Research Paper Abstract
This 4 page paper considers why and how costs are allocated by government. The paper answers a set of questions, the first looks at why costs are allocated by the US Army Corp of Engineers, then at the way the City of Seattle allocate costs and considering whether different methods for each overhead is more effective than a uniform approach. The third question looks at the benefits of having a specialist department looking at cost allocation. The last part discuses why governments need to allocate costs when the funds all come from the same place. The bibliography cites 3 sources.
Page Count:
4 pages (~225 words per page)
File: TS14_TEallcostgvt.doc
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Unformatted sample text from the term paper:
take place will have direct costs incurred, and will also make use of shared resources/overheads. These resources are necessary and as such the cost needs to be accounted for in
order to justify the existence of those resources with fair and equitable distribution of the cost (US Army Corps of Engineers). The allocation
of cost is necessary to gain an accurate picture of the cost of a project and to estimate the total reimbursable costs (US Army Corps of Engineers). This allocation of
costs is also needed in terms of providing accountability for the way that pubic funds are spent. The assessment of a projects feasibility and the ability to make comparisons all
requires a full cost to be assessed. This is not only an administrative and ethical consideration; cost allocation is also mandated by Federal law for most multipurpose projects. In
total terms, it may be argued that the money will be used regardless of the way it is allocated, as the cost is the same, regardless of which party under
the Federal banner fits the bill. However, where no allocations take place there is likely to be inefficient use of resources, by undertaking the allocation of costs the real cost
can be used as an assessment which will help to maximise the use of resources; this is needed where there are likely to be demands that are greater than the
available resources. Question 2 - City of Seattle Cost Allocation The way in which the City of Seattle allocates costs is variable, with numerous different drivers for the
different. In each case the drivers appear to have been chosen in order to try and reflect the actual usage of the service. For example the cost of mail delivery
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