Asked by
Nazareth Lacayo
on Oct 14, 2024
Verified
Incremental costs are also called out-of-pocket costs.
Incremental Costs
The additional costs that are incurred if the level of business activity or output changes.
Out-of-Pocket Costs
Out-of-pocket costs are expenses that individuals directly pay from their funds, not covered by third-party payers like insurance.
- Capture the essence of incremental cost and revenue, and their utilization in the sphere of managerial decision-making.
Verified Answer
JP
Learning Objectives
- Capture the essence of incremental cost and revenue, and their utilization in the sphere of managerial decision-making.