Exergy analysis appears to be a more powerful tool, than energy analysis, for system analysis, design and performance improvement, because of the fact that it helps determine the true magnitudes of losses and their causes and locations, and improve the overall system and components, has been applied to the gas turbine cycle with absorption inlet cooling and evaporative cooling for cogeneration applications. Exergy destruction in the components as well as the energy efficiency, power to heat ratio, and exergy efficiency of the system have been reported. In addition, the following conclusions are obtained