When managers are looking at different ways to achieve a certain goal,what can they perform as a means of comparing how the alternative decisions would affect the firm's revenues and costs?
A)activity-based costing
B)marketing analysis
C)incremental analysis
D)ratio analysis

Question

Quizplus · Accepted Answer

Incremental analysis involves comparing the costs and revenues of alternative decisions in order to determine the best course of action. It focuses on the potential changes in costs and revenues that would result from each decision and helps managers choose the option with the highest potential for profitability. Activity-based costing, marketing analysis, and ratio analysis are useful tools for understanding costs and revenues, but are not specifically designed for comparing alternative decisions.

When Managers Are Looking at Different Ways to Achieve a Certain