Total Project Approach

You set up a couple animal pens in your backyard. You're going to breed both goats and llamas. After a year, you decide that keeping two sets of animals is too much trouble. The goats kick and the llamas spit. You can deal with one or the other, but not both. So, the question becomes, "Which animal is more worth it?"

Time for the total project approach. It's a way of comparing the profits earned from two separate projects. It involves looking at the revenue and costs generated by the two sides.

Basically, you provide separate income statements for the two breeding operations. Whichever one shows the highest profitability will be the one you choose. But you're secretly rooting for the llamas.