Meacham Company Has Traditionally Made a Subcomponent of Its Major

question 16

Multiple Choice

Meacham Company has traditionally made a subcomponent of its major product. Annual production of 20,000 subcomponents results in the following costs: Meacham has received an offer from an outside supplier who is willing to provide 20,000 units of this subcomponent each year at a price of $28 per subcomponent. Meacham knows that the facilities now being used to make the subcomponent would be rented to another company for $75,000 per year if the subcomponent were purchased from the outside supplier. Otherwise, the fixed overhead would be unaffected.
-If Meacham decides to purchase the subcomponent from the outside supplier,how much higher or lower will net operating income be than if Meacham continued to make the subcomponent?

• A)$45,000 higher
• B)$70,000 higher
• C)$30,000 lower
• D)$70,000 lower

Grasp the role of HR forecasting in ensuring the availability of human capital.

Identify the alignment of workforce planning practices with business strategy in Canadian organizations.

Understand the significance of designated groups in hiring practices within Canada.

Realize the importance of HR forecasting tools and the role of historical measures in determining human capital requirements.

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Definitions:

Lipid-Soluble

Refers to a substance's ability to dissolve in fats, oils, and non-polar solvents.

Rapid Onset

A situation or condition that develops or occurs suddenly and progresses quickly.

Neurocrine

Relating to or denoting the release of neurotransmitters or neurohormones from neurons to act on target cells nearby or within the same tissue.

Paracrine

This term describes a type of cell signaling in which the target cell is close to the signal-releasing cell.