In an Outsourcing Decision, the General Rule Managers Should Follow

question 35

Multiple Choice

In an outsourcing decision, the general rule managers should follow is to

• A) Choose the option with the lowest relevant cost
• B) Maximise the use of constrained resources
• C) Outsource if the price is greater than the sum of variable costs and fixed costs
• D) Do not outsource if the cost is less than the sum of relevant fixed costs and opportunity costs

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Definitions:

LH

Luteinizing hormone, a hormone produced by the anterior pituitary gland that plays a key role in regulating the reproductive system.

Hormones

are chemical messengers produced by endocrine glands, which regulate various physiological processes and behaviors throughout the body.

Regulatory System

A set of interconnected components designed to monitor and adjust a system's performance to maintain its stability or homeostasis.

Chemical Secretions

Chemical secretions refer to substances produced and released by cells or glands, which can serve various functions such as signaling, protection, or digestion.