Differential analysis can aid management in making decisions on a variety of alternatives, including whether to discontinue an unprofitable segment and whether to replace usable plant assets.

Question

Quizplus · Accepted Answer

Differential analysis involves comparing the costs and benefits of different alternatives, which can be helpful in making decisions about discontinuing unprofitable segments or replacing plant assets. Therefore, the statement is true.

Differential Analysis Can Aid Management in Making Decisions on a Variety