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Canyon Trails is studying whether to outsource its Human Resources (H/R) activities. Salaried professionals who earn $450,000 would be terminated; in contrast, administrative assistants who
Canyon Trails is studying whether to outsource its Human Resources (H/R) activities. Salaried professionals who earn $450,000 would be terminated; in contrast, administrative assistants who earn $147,000 would be transferred elsewhere in the organization. Miscellaneous departmental overhead (e.g, supplies, copy charges, overnight delivery) is expected to decrease by $34,000, and $25,000 of corporate overhead, previously allocated to Human Resources, would be picked up by other departments. If Canyon Tralis can secure needed H/R services locally for $470,000, how much would the company benefit by outsourcing? Multiple Choice $14,000. 543,000. $161,000. $190,000. Nothing. as it would be cheaper to keep the department open
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