ppt课件-shortrunproductiondecisions-baruchcollege.pptVIP

* Accept or Reject Special Order Incremental Approach: Status quo: making 150,000 lb. egg noodles New project/activity: special order to make 100,000 lb. of additional noodles. Incremental benefits: Incremental costs: Additional DM Additional DL Additional VOH Total: Accept or Reject Special Order If Vince had a maximum capacity of 200,000 lb., should it accept the special order? Assume this is an all or nothing order; Vince either provides all of the 100,000 pounds or none. Note that now we have opportunity costs. The opportunity costs are the benefits forgone from not sell