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Which of the following would be a qualitative issue in deciding whether to make orbuy a part used in production? A. The company will lose

Which of the following would be a qualitative issue in deciding whether to make orbuy a part used in production?

A.

The company will lose control over the quality of the part.

B.

The company may lose control over the available quantity of part.

C.

People may stop purchasing the companys product.

D.

All of the above are qualitative issues.

A company is considering purchasing a part from an outside supplier rather than makingthe part. Which of the following costs is not relevant to the decision?

A.

The cost of direct materials required to make the part.

B.

The price charged by the outside supplier.

C.

The depreciation cost of the companys factory.

D.

The cost of the variable overhead required to make the part.

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