Which statement is true concerning the decision rule on whether to make or buy?
a) The company should buy assuming no additional fixed costs are incurred.
b) The company should buy if the incremental revenue exceeds the incremental costs.
c) The company should buy as long as total revenue exceeds present revenues.
d) The company should buy if the cost of buying is less than the cost of producing.
d) The company should buy if the cost of buying is less than the cost of producing.
You might also like to view...
According to the Agile Software Development Manifesto, simplicity is the art of maximizing the amount of work not done
Indicate whether the statement is true or false
What is the coupon rate of an eight-year, $10,000 bond with semiannual coupons and a price of $9006.6568, if it has a yield to maturity of 6.5%?
A) 4.888% B) 5.87% C) 6.84% D) 3.91%