管理会计双语第10章PPT课件.ppt

- Product Mix Constraints（限制）: Restrict production or sale of product Manufacturers Limitations on labor or machine hours or available materials Merchandisers Amount of display space Stiff competition may limit demand Product Mix Product Mix Learning Objective 4 Outsourcing and sell as is or process further Outsourcing (Make or Buy) Outsourcing Opportunity Cost The benefit forgone by not choosing an alternative course of action Example: If the company chooses not to outsource, it will lose any revenue from freed capacity Sell As Is or Process Further Sell As Is or Process Further - - - - Short-Term Business Decisions Chapter 10 Learning Objective 1 Describe and identify information relevant to business decisions How Managers Make Decisions Relevant Information Relevant costs: relevant to a particular decision, meaning they can affect the decision making Avoidable Expected future data Cash flow Differs among alternatives Relevant Information Types of relevant costs Opportunity cost: refers to a benefit that a person could have received, but gave up, to take another course of action. This cost is, therefore, most relevant for two mutually exclusive events. Marginal cost: refers to the change in total cost that comes from making or producing one additional item. Avoidable cost: discretionary fixed costs Differential cost: difference in expected costs between two alternatives Opportunity cost A machine currently has the capacity to handle one more order and the manager must decide between two orders. Order X will provide a CM of $12,000, whereas order M will provide a CM of $15,000. If the manager accept order X, he will forgo the opportunity cost of accepting order M with a CM of $15,000, which is the opportunity cost of accepting order X. If the manager accept order M, he will forgo the opportunity cost of accepting order X with a CM of $12,000, which is the opportunity cost of accepting order M. Choosing the project with highest CM will always lead to the same