Engineering Economy 7th Edition by Leland Blank ,Anthony Tarquin

Exercise 5

Buster County has proposed a strict water conservation policy for all industrial plants within the county limits. Enforcement is proposed to be a public-private partnership between the sheriff's office and a private security company. In preparing for a B/C analysis of the proposal, estimates must be categorized as a benefit, cost, or disbenefit. The categories chosen will vary depending upon a person's viewpoint. Assume that possible viewpoints include sales revenues, politics, service to the public, the environment, contract obligations, future generations of residents, legal matters, revenue and budget (in general), and customers.
a) Select the top two viewpoints (in your opinion) for each of the following individuals as they would categorize estimates as a cost, benefit, or disbenefit.
1. An industrial plant manager in the county
2. County sheriff's deputy (appointed office)
3. County commissioner (elected office)
4. Security company president
b) Explain your answers by writing a short description of why you selected as you did.