a2 Business studies Decision making

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Business studies Decision making

 

1.    Investment appraisal

2.     Decision trees- probability

3.    Critical path analysis

4.    Special order decisions – contribution pricing (SP-VC = contribution)  

Investment appraisal

Definition: how a business decides whether or not a capital investment is worthwhile.

Ø How a business chooses between different investment alternatives

Ø Involves

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