Costs Relevant to a Make-Versus-Buy Decision Typically Include Variable Manufacturing

question 111

Multiple Choice

Costs relevant to a make-versus-buy decision typically include variable manufacturing costs as well as:

• A) Avoidable fixed costs.
• B) Factory depreciation.
• C) Unavoidable costs, both production and marketing.
• D) Property taxes on the manufacturing facility.
• E) Factory administrative costs (e.g., salaries).