A Firm Is Considering Whether to Continue to Buy a Particular

question 23

Multiple Choice

A firm is considering whether to continue to buy a particular component or to make the component themselves. There is no fixed cost associated with buying the component, but each component costs $17 to purchase. If the firm makes the component, it will incur a fixed cost of $5,000, but will be able to produce each component for $10. Which decision below is correct?

• A) Make if estimated demand is less than 714.3 units
• B) Buy if estimated demand is greater than 5,000 units
• C) Make if estimated demand is greater than 714.3 units
• D) Buy if estimated demand is greater than 714.3 units

Understand and apply May's concepts of responsibility and authenticity to individual cases.

Understand and apply Bandura's concepts of self-regulation and self-efficacy.

Analyze the role of needs as discussed by Rogers, Fromm, and Maslow.

Distinguish between perceived self and ideal self and evaluate their impact on individuals’ mental health.

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Definitions:

Afghanistan

A landlocked country located in South Asia and Central Asia, known for its complex history of conflicts and strategic importance.

Foreign Aid

Financial assistance provided by one country to another, often to support economic development, humanitarian efforts, or political stability.

Developing Countries

Nations with low to middle industrialization levels and lower standards of living and Human Development Index (HDI) compared to developed countries.

Poorest

Referring to the individuals or groups with the lowest income and wealth levels in a society.