VOCAB! HELP

If incremental revenue from processing exceeds the extra cost of processing further
	If the fixed costs savings exceed the contribution margin lost from a product line or department
	Their products and services are unique or have little competition
	Restrict the amount of product that can be manufactured or sold
	Used by price setters
	Contract an outside company to produce a product or perform a service
	Looks at how operating income will be different under each alternative
	Incurred only if the product line is retained
	Benefit foregone by choosing a particular course of action
	Costs that have been incurred in the past and cant be changed
	Contribution margin of a product line minus direct fixed costs
	Not relevant when there is excess capacity
	Have work performed overseas
	Starts with the amount customers are willing to pay and subtracts the companys desired profit
	Often calculated as a percentage return on investment in assets
	Their products and services are not unique or branded

1.	Incremental analysis
2.	Sunk costs
3.	Price takers
4.	Price setters
5.	Cost-plus pricing
6.	Target costing
7.	Desired profit
8.	Fixed costs
9.	Avoidable fixed costs
10.	Decide to discontinue
11.	constraints
12.	Outsourcing
13.	Offshoring
14.	Opportunity cost
15.	Process further
16.	Segment margin