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Relevant Revenues and Costs Progress You are on question 7 of 9 XYZ Company is considering buying the main component of their widget rather than

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Relevant Revenues and Costs Progress You are on question 7 of 9 XYZ Company is considering buying the main component of their widget rather than continuing to make them in house. This change would create idle space in the production facility. What might XYZ do? This is an opportunity cost to XYZ. If they start to buy, then could use this space to start a new line that may be more profitable for them. They may also choose to let it sit idle if from a cost perspective that makes financial sense. Immediately add a new product line since they have space. Leave the space empty. Previous Next

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