Textbook Notes (368,720)
Canada (162,105)
Geography (220)
GEO 110 (47)
Chapter 17

chap 17

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Department
Geography
Course
GEO 110
Professor
David Atkinson
Semester
Fall

Description
Chapter 4Relavant Costs for Non Routine Operating DecisionsGeneral Rule for Special order DecisionsBe as well off after accepting the order as we were before Does the order replace regular businessprice should be at or above contribution marginFixed costirrelevant incurred regarlessAcceptable if order breaks evenminimum acceptable price is equal to the incremental cost most variable costs and some fixedGeneral Rule for Keep or Drop DecisionsDiscontinue a productservicebusiness segement when its total CM does not cover fixed costs that are eliminated if the product is dropped aka avoidable fixed costsSeparate costsFVEvaluate FCshow
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