• Incremental analysis is used by many companies as a guide to making decisions about future business activities. Some of the scenarios that incremental analysis can be applied to the following:
  • Accepting additional business
  • Determining the allocation of resources
  • Selling products or processing them further
  • Making or buying a product or component
• Describe in detail what types of information would be important in making a decision about each scenario. List the scenario you are responding to, the criteria needed, and why the criteria is important in helping to make the decision.