Make a product instead of buying
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Question
42-Assume that Sohar Aluminum LLC providing following information to you to help them to take decisions of make or buy if the Freed Capacity is Idle. Variable cost per unit OMR 6 and purchase price per unit OMR 10. Based on the above information, advice the company, should it make or buy?
O a. Make a product instead of buying
O b. Liquidate the business
O c. Buy a product instead of making
O d. None of the given options
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