Question: When considering whether to continue to manufacture a part or buy it from an outside supplier, management should buy the part if the Oa incremental
When considering whether to continue to manufacture a part or buy it from an outside supplier, management should buy the part if the Oa incremental cost to buy is less than the incremental cost to manufacture the part. Cb, equipment used for making the part is fully depreciated. Oc. equipment used for making the part could be sold. Od, incremental cost to buy is less than the total cost to manufacture the part
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