In a Make-Or-Buy Break-Even Analysis, F's Refer to _______

question 123

Multiple Choice

In a make-or-buy break-even analysis, F's refer to _______.

• A) fixed costs
• B) variable costs
• C) both fixed and variable costs
• D) neither fixed nor variable costs

---

Definitions:

Work in Process

Inventory that includes goods partially completed in the manufacturing process but not yet ready for sale.

Retained Earnings

The portion of net earnings not paid out as dividends but retained by the company to be reinvested in its core business or to pay debt.

Net Income Column

A financial statement element that shows the difference between total revenues and total expenses of a company.

Balance Sheet

A report detailing a company's assets, liabilities, and owners' equity at a certain moment.