Accept or Reject Special Order | Managerial Accounting

When deciding whether to accept or reject a special order, you should:
1. only consider relevant costs (ignore any costs that won't change whether or not you accept the order)
2. accept the order if the incremental revenue exceeds the incremental cost of accepting the order
If you don't have idle capacity, then the forgone profit of any actions you are giving up (by accepting the special order) should be included as a cost of accepting the special order.-
Edspira is the creation of Michael McLaughlin, an award-winning professor who went from teenage homelessness to a PhD. Edspira’s mission is to make a high-quality business education freely available to the world.
-
SUBSCRIBE FOR A FREE 53-PAGE GUIDE TO THE FINANCIAL STATEMENTS, PLUS:
• A 23-PAGE GUIDE TO MANAGERIAL ACCOUNTING
• A 44-PAGE GUIDE TO U.S. TAXATION
• A 75-PAGE GUIDE TO FINANCIAL STATEMENT ANALYSIS
• MANY MORE FREE PDF GUIDES AND SPREADSHEETS
* eepurl.com/dIaa5z
-
SUPPORT EDSPIRA ON PATREON
* / prof_mclaughlin
-
GET CERTIFIED IN FINANCIAL STATEMENT ANALYSIS, IFRS 16, AND ASSET-LIABILITY MANAGEMENT
* edspira.thinki...
-
LISTEN TO THE SCHEME PODCAST
* Apple Podcasts: podcasts.apple...
* Spotify: open.spotify.c...
* Website: www.edspira.co...
-
GET TAX TIPS ON TIKTOK
* / prof_mclaughlin
-
ACCESS INDEX OF VIDEOS
* www.edspira.co...
-
CONNECT WITH EDSPIRA
* Facebook: / edspira
* Instagram: / edspiradotcom
* LinkedIn: / edspira
-
CONNECT WITH MICHAEL
* Twitter: / prof_mclaughlin
* LinkedIn: / prof-michael-mclaughlin
-
ABOUT EDSPIRA AND ITS CREATOR
* www.edspira.co...
* michaelmclaugh...

[@thecheekof]

I just passed the final part of the CMA exam and wanted to leave a comment to let you know how much I appreciated and used your videos during my studies. Thank you!

[@Edspira]

Congratulations! That is a huge accomplishment and I'm honored to have been part of your journey. I hope you have a nice celebration!

[@arkadiystraussberg4469]

Been attending Edspira university for many years now

[@floriap9894]

Your lecture is of great help to my study!

[@Edspira]

Glad to hear that!

[@summerjho2781]

Simple but straight to the point! Thank you very much!

[@chr0m389]

love the enthusiasm.

[@kayleadawn]

Omg thank you so much for this. Really helped me better understand it for my accounting exam tomorrow!!

[@oktaariw]

I'd love to see the continue of this video. Thank you for the explanation

[@visheshchaudhary5456]

Clear and crisp..thank you sir 🙏

[@Edspira]

No problem!

[@user-py9si7zw8j]

You are a genius I swear

[@michaelmuvirimi6484]

Thank you so much for these videos!

[@Edspira]

Glad you like them!

[@chikkalajpchandra2392]

Thank you sir, it helped me.

[@techlifetube]

God bless you real good! Very well explained!!!

[@sophiaowusu3769]

To the point 👏😊 excellent

[@Edspira]

Glad it was helpful!

[@sophiaowusu3769]

@@Edspira Yes,it was.Thanks😊

[@aidan8710]

Great vid. Thank you!

[@ashtonvinson699]

Thank you so much very helpful!

[@DANNYzFiLMS]

Great commentary

[@stephaniewang8544]

Really helpful! Thanks :D

[@lq6424]

I wanna know who sells those self driving baby strollers, I need one!! 😂

[@timerab749]

have you done a video on bank reconciliations?

[@Edspira]

Not yet. Hope to get to that in 2021!

[@FaheemProductions]

Thank you so much!!

[@Ahmedhaadi]

Thank you

[@Edspira]

You're welcome!

[@ariah5093]

God bless you, sir

[@alexkennedy5426]

Is that Sullivan? You sound like Sulley from Monsters Inc :D

[@ThePsychoGamerYT]

Goat💪🏽💪🏽

[@anitha437]

Can you pls add subtitle to your videos pls

[@nandninayyar2514]

🥰

[@jackyng2753]

The written words are not easily be seen, not clearly written, can you change to a more clearly method of presentation ?