What is the key factor in performing incremental analysis if a company has limited resources?
A)contribution margin per unit of limited resource
B)the amount of fixed costs per unit
C)total contribution margin
D)the cost of limited resources

Question

Quizplus · Accepted Answer

If a company has limited resources, the key factor in performing incremental analysis is to consider the contribution margin per unit of limited resource. This helps in making decisions that maximize the use of the limited resource and generate the highest possible profit.

What Is the Key Factor in Performing Incremental Analysis If