What of the Following Would Not Be Relevant in a Make-Or-Buy

question 65

Multiple Choice

What of the following would not be relevant in a make-or-buy decision?

• A) Unavoidable variable costs
• B) Incremental fixed costs
• C) Opportunity costs
• D) Avoidable fixed cost

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Definitions:

Controller

A senior financial officer within a company responsible for overseeing accounting operations, financial reporting, and internal controls.

Operating Cycle

The duration of time from the purchase of inventory to the collection of receivables from the sale of that inventory, critical for managing cash flow.

Accounts Payable Period

The average number of days it takes a company to pay off its suppliers and creditors.