Final answer:
The process that identifies both direct and indirect expenditures of a program is 'costing.' It is crucial in economic decision-making, such as cost benefit analysis, and includes creating a detailed account of all expenses.
Step-by-step explanation:
The process that identifies all the direct and indirect expenditures of a program is known as costing. This involves an extensive assessment of every financial consideration associated with the execution and maintenance of a program, which includes both obvious costs and those not immediately apparent. Cost benefit analysis is another related decision-making process that compares what one will sacrifice versus what one will gain, using marginal analysis to weigh the additional costs associated with an added unit against the extra benefits received from that same unit. Performing a cost benefit analysis involves creating a T-shaped chart to compare costs (like money, effort, and other sacrifices) on one side against the benefits (such as money, time, experience, and other improvements) on the other. Costing itself is integral to various economic decision-making processes, including cost benefit analysis, as it provides a detailed account of expenditures.