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What do you understand by cost-benefit analysis and what are its uses and limitations?

What do you understand by cost analysis


Assess the contributions and limitations of economic analysis for business decision making?

There are a number of contributions and limitations which are associated with analysis for business decision making. The contributions will look at the main factors of production and the returns on investment. The limitations are seen in the assumption that such factors remain constant.?æ


What is the incremental concept of managerial economics?

Incremental analysis includes two concepts Incremental cost Incremental revenue IC is the additional cost incurred for additional output. In other words changes in cost due to changes in level of output. Whereas IR is the additional revenue from additional output or the changes in revenue due to changes in output. For every business decisions there is IR and IC. In order to determine whether the decision is sound or not we should compare the IC and IR of every decision. If the IR exceeds the IC, or IR is equal to IC the decision can be assumed as a sound decision.


What are the limitations of cvp in business?

Cost volume profit analysis is useful in some applications. It is limited however, when it comes to operations which have more than one product. In addition, it can only produce approximate answers.Ê


What are limitations of stock exchange in economy?

There are two types of limitations of stock exchange in economy; economic limitations and personal limitations. Economic limitations refers to when companies back off from investing due to fears, and personal limitations refers to small investors not being able to impact the stock exchange by investing.

Related Questions

Limitations of principle component analysis over independent component analysis?

1- order of IC's 2- so solution of that problem is solved by using whitening process to make var(x1)=var(x2)=1 3- mean x=x-mean


What are the Usefulness and limitations in using ratios to do a trend analysis?

Indicate the usefulness and limitations in using ratios to do a trend analysis Sheryl Smith


What do you understand by cost-benefit analysis and what are its uses and limitations?

What do you understand by cost analysis


What are some limitations to public policy analysis?

please i need the answer


Briefly discuss the primary limitations of ratio analysis as a technique of financial statement analysis?

discuss objective and limitation of time series analysis


Assess the contributions and limitations of economic analysis for business decision making?

There are a number of contributions and limitations which are associated with analysis for business decision making. The contributions will look at the main factors of production and the returns on investment. The limitations are seen in the assumption that such factors remain constant.?æ


List of ic which have same function as ic ca3130 have?

The CA3130A offers superior input characteristics over those of the CA3130. or combine both CMOS and bipolar transistors independently by considering proper limitations;it may work


Is sulfate in Pepsi?

Yes, Sulfate ions are present in Pepsi. Ion Chromatography (IC) analysis confirms their presence.


How will you prove the ic water and stream are the forms of single compound?

Chemical analysis determine that the chemical composition is identical.


What is the treat of the business in SWOT analysis?

Threats in SWOT analysis refers to outside threats such as competition. On the other hand, weaknesses refers to internal limitations.


What are the limitations of cost volume profit analysis?

A number of limitations are commonly mentionedwith respect to CVP analysis:1. The analysis assumes a linear revenue functionand a linear cost function.2. The analysis assumes that what is produced issold.3. The analysis assumes that fixed and variablecosts can be accurately identified.4. For multiple-product analysis, the sales mix isassumed to be known and constant.5. The selling prices and costs are assumed o beknown with certainty.


What are the limitations of traditional management accounting?

1-internal focus 2- Profitability analysis on products only

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