In a Make-Or-Buy Decision, Which of the Following Would Not

question 186

Multiple Choice

In a make-or-buy decision, which of the following would not be relevant?

• A) the quality of the product
• B) the portion of fixed costs that could be eliminated by outsourcing
• C) a lease that could be discontinued upon accepting the "buy proposal"
• D) property taxes on the plant that will still be necessary even if the product is outsourced

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Definitions:

Eustress

Positive stress that arises from challenges and situations that are perceived as beneficial to personal growth, motivation, and development.

Strength

The quality or state of being strong, including physical, mental, or emotional robustness.

Hope

A feeling of expectation and desire for certain things to happen, often seen as a motivator in personal and professional growth.

Expectancy Theory

A motivation theory that suggests that individuals are motivated to perform if they believe their efforts will lead to favorable outcomes.