Its Alarming! produces alarm systems for cars and trucks. The company is trying to decide whether to outsource its Installation Department to A-One Technicians for $50 per installation. Although the company estimates that its current costs are only $40 per vehicle, it could likely use the idle space currently occupied by the Installation Department to earn an additional $12,000 per year. Its Alarming! performs approximately 80 installations per month.

1. What nonfinancial factors should be considered?

• The reputation for quality service of the outsourcing company.unanswered
• Sunk costs of Its Alarming!.unanswered
• The total fixed cost of Its Alarming!.unanswered
• Current employees would have to be fired