Component selection is not an easy task in Component Based Software Engineering .and it is very difficult to select component for CBSE. Component Based Software Engineering (CBSE) is a concerned with the assembly of pre-existing software components that leads to a software system that responds to client-specific requirements. This paper presents an approach for defining evaluation criteria for reusable software components. We introduce taxonomy of factors that influence selection, describe each

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... of them, and present a hierarchical decomposition method for deriving reuse goals from factors and formulating the goals into an evaluation criteria hierarchy. It also presents a summary of the common problems in reusable off-the-shelf software selection, describes the method .It also indicates that the evaluated aspects of the method are feasible, improve the quality and efficiency of reusable software selection. In this paper the selection of component is done on the basis of the cost of the component which is calculated on the basis of the quality attributes of the component. The approach used for selecting the component is a part of OTSO method that has been developed for reusable component selection process.