Rachel Inc. is deciding whether to continue to manufacture a component or to buy the component from a supplier. Which of the following is not relevant to this decision? Group of answer choices The costs of direct materials that is used to manufacture the component. The alternative of use of the facility currently being used to manufacture the component. The purchase price of the component charged by the supplier. Fixed manufacturing costs that do not differ between the decision alternatives.

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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Rachel Inc. is deciding whether to continue to manufacture a component or to buy the component from a supplier. Which of the following is not relevant to this decision?
Group of answer choices
The costs of direct materials that is used to manufacture the component.
The alternative of use of the facility currently being used to manufacture the component.
The purchase price of the component charged by the supplier.
Fixed manufacturing costs that do not differ between the decision alternatives.
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