cost appraisal

Cost appraisal is the process of evaluating the expenses associated with a project or investment to determine its financial viability. It involves estimating all costs—such as materials, labor, equipment, and overhead—and comparing them to expected benefits or revenues. The goal is to ensure that the project is financially sustainable and worthwhile, helping decision-makers choose the most cost-effective options. Essentially, cost appraisal provides a clear picture of the financial commitment involved, enabling informed decisions to optimize resource allocation and minimize risks.