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It looks like erosion costs can become complicated. According to the text, one way to structure what's going on with erosion costs is to

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It looks like erosion costs can become complicated. According to the text, one way to structure what's going on with erosion costs is to create a table documenting before-and-after new project revenues and costs. Such a table, for example, illustrated in the text that introducing the new pudding pops... will increase total revenues of Heavenly Foods by just $338,000. will result in competitors taking away about $251,000 in potential revenues. will affect total sales of pudding but not sales of the company's baked products.

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