Navy Ordnance: Analysis of Business Area Price Increases and Financial Losses

摘要

This report responds to your request that we review financial and operational211u001emanagement issues relating to the Navy ordnance business area which was included 211u001ein the Defense Business Operations Fund (DBOF). On December 11, 1996, the Under 211u001eSecretary of Defense (Comptroller) reorganized DBOF and created four working 211u001ecapital funds: Army, Navy, Air Force, and Defense-wide. The Navy ordnance 211u001ebusiness area is now part of the Navy Working Capital Fund. The four working 211u001ecapital funds will continue to operate under the revolving fund concept and 211u001echarge customers the full costs of providing goods and services to them. Since 211u001ethe Navy ordnance business area still operates under the revolving fund concept, 211u001eour findings and recommendations are applicable under the working capital fund 211u001estructure.