LEG 505 Week 7 Discussion 1, Price Analysis versus Cost Analysis

Compare and contrast price analysis versus cost analysis, explain how they differ, and describe when it is appropriate to use price analysis versus cost analysis. Select one of the two methods and determine under what condition(s) it would not be appropriate for use. If you believe that the methods apply to any circumstance, justify your response.

Explain the importance of these two types of analysis in the context of government contracts. Provide an example of how each is clearly used.