30. Make-or-buy decisions are also commonly known as: A. company style decisions B. purchasing decisions C. outsourcing decisions D. planning decisions 31. Apps Company reported the following information for the company's two products: Item Product A Selling price per unit $25 Product B $35 Variable cost per unit $15 $20 Assume that 75,000 machine hours are available; Product A takes 2 machine hours to produce, and Product B takes 4 machine hours to produce. Apps Company can sell all it can make of either product. Which of the following statement is correct? A. Product A should be produced because more of it can be produced B. Product B should be produced because it provides a greater contribution margin C. Product A should be produced because it will produce a greater total profit for the company D. Both products will provide the same total profit 32. A major disadvantage of Activity Based Costing, as discussed during class, is that: A. it will often give a less precise measurement of overhead incurred for each product B. the cost of implementing this method can exceed the benefits from using it C. it uses cost objects D. it is very simplistic and does not consider enough variables 33. Which of the following allocation bases for a highly automated (use mainly robots) factory would be an improvement over direct labor hours? A. Number of raw materials used B. Machine hours C. indirect labor hours D. Number of raw materials purchased