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In a make or buy case we have the following: - Cashflow for 5 years ( both fixed and variable costs direct labor, direct materia,

In a make or buy case we have the following:

- Cashflow for 5 years ( both fixed and variable costs "direct labor, direct materia, MOH" are available in the statement )

- NPV was already calculated

- $POHR was also calculated

- Income is not available ( it is not possible to assume it )

What other financial calculations can be taken into consideration to support the make or buy decision ?

1) Please specify the methods

2) Do you think $POHR calculation really affect the make or buy decision ?

Thanks in advance !

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