Question: A company is considering whether to continue to make a component or buy it from an outside supplier. If they buy the component the manufacturing

A company is considering whether to continue to make a component or buy it from an outside supplier. If they buy the component the manufacturing facility currently being used will be idle. If the company has no alternative use of the facility, the opportunity cost associated with this decision is Blank

______.

Multiple choice question.

equal to the buy price

equal to the difference between the buy price and the differential cost of making the product

zero

equal to the differential make cost

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