pt 1

pt 2

CH 7 KB. Wilson is currently producing a component for one of its products. Wilson has received an offer to buy the component from an outside supplier. A machine is currently being rented to manufacture the component. If the company buys the component, the rental will be cancelled. What is the rent on the machine, in relation to the decision to make or buy the component? Unavoidable and therefore relevant Sunk and therefore not relevant O All of the answer choices are correct Avoidable and therefore not relevant Avoidable and therefore relevant CH 7 KB. Which of the following is likely to occur when fewer overhead cost pools are used? All products will be undercosted. Product costs will be less accurate. Decisions such as product pricing will be improved. O Recordkeeping will be more expensive