A Cost-Benefit Analysis of Accuracy Cyberknife Treatment Service Center for Vancouver, Washington
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This paper covers a cost-benefit analysis for a hypothetical scenario. A ten step procedure for conducting a net present value analysis is the basis for this report. The project is an Accuray CyberKnife treatment service center for Vancouver, Washington. The result of the cost-benefit analysis is that it is recommended that the project is accepted.
The issue at hand is whether or not to start an Accuray CyberKnife treatment service center in Vancouver, Washington, a suburb of Portland, Oregon. The analysis will be conducted according to the ten step process outlined in Cellini and Kee (2010). This ten part process gathers costs and performs a net present value analysis. The project has a positive net present value, withstands robust sensitivity analysis and therefore it is recommended that the project is undertaken.
The project in question is whether to start an Accuray CyberKnife treatment service center in Vancouver, Washington. A cost benefit analysis will be conducted in order to determine if this center is viable and should be undertaken. A cost-benefit analysis is defined as one where "the program's total benefits to society exceed the costs" (Cellini & Kee, 2010).
The first step in Cellini and Kee's framework is to determine if the analysis will be cost-benefit or cost-effectiveness. Cost benefit analysis is considered by the authors to be the superior technique (p.496) so that is what will be used. The