Question 1 of 2 -/1 = LUTCH ALLEIPURIVIC Make or Buy Decisions. Make or buy is always an important decision for your company. Though your company has the capacity, sometimes it may be less expensive to purchase directly from another wholesaler. The visualization in this exercise shows the cost difference between make versus buy. Based on this information, please answer the following questions. Click here to access a Tableau file, and here to access a Power Bl file. (The Tableau and Power BI files contain the same data; you can use either to answer the questions in this assignment. Your instructor may specify which program they prefer you to use!) How to Access Tableau: You can open the Tableau file in this problem statement with Tableau Desktop software. If you don't have Tableau Desktop, you can download the most recent version of Tableau Reader, a free program that allows you to open Tableau visualizations. To get the most recent version, search for "Tableau Reader" in your internet browser or click here. you don't have it How to Access Power BI: You can open the Power BI file in this problem statement with Power BI Desktop. already, search for "Power BI download" in your internet browser, or click here for a free download. By looking at the visualization, you notice that purchase cost is positive but everything else is negative. Which of the following statements best describes this observation? We use different signs to show whether it is paid internally or it is paid through external parties. We use negative value to show an expenditure, which is the reason why the manufacturing expenses are negative. This is incorrect. The visualization must erroneously flip the signs. When we compare all the costs under both conditions (make versus buy), these numbers are the differences. The positive value indicates the expenses we pay and the negative values represent the expenses we can save when buving the product. Question 1 of 2 -/1 By hovering over the figure, what is the total manufacturing costs if we decide to make the product by ourselves assuming no other costs are involved in this manufacturing process? $170,000 $80,000 $100,000 $120,000 Based on the visualization, would you choose to make the product or choose to purchase the product? O Make as it is cheaper to make it by ourselves. Purchase since it is less expensive. 0 lake since the cost is negative. Purchase as we can skip the manufacturing process. Save for Later Attempts: 0 of 3 used Submit Answer Dol Direrct Material Direct Labor Other Variable Manufacturing Costs Fixed Manufacturing Costs Purchase Cost Buy or May -50F 0 50 F 100 F 150 F equals thousand make or buy Decision Buy versus Make 160K 140K 1POK 100K HOK SOK 4OK 20K OK -ZOK -10 -GOK -BOK Direct Labor Direrer Material rixed Manufacturin Other Variable Manufacturin Purchase Cost make or buy Dashboard 1 Question 2 of 2
