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  • January 2006
  • Tutorial

Alternative Choice Decisions Analysis

By: David F. Hawkins, V.G. Narayanan, Jacob Cohen and Michele Jurgens
  • Format:Multimedia
  • | Pages:1
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Abstract

Shows how managers use information on costs and revenues to decide between possible alternative courses of action. Presents two case examples of differential cost analysis. The first, a make or buy decision, examines two alternatives in which only costs vary. The second presents a situation in which both revenues (changes in price and volume) and costs (including fixed costs) change. Both analyses allow students to act as managers and conclude which of several alternatives yields the greatest differential profits.

Keywords

Cost; Profit; Revenue; Information; Management Analysis, Tools, and Techniques; Problems and Challenges; Conflict and Resolution

Citation

"Alternative Choice Decisions Analysis." Harvard Business School Tutorial 105-706, January 2006.
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About The Author

V.G. Narayanan

Accounting and Management
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