Which of the following may be an advantage of buying a part instead of making it? O Economies of scale can result in higher quality and lower costs from suppliers. O Companies can realize profits from the parts and materials that it makes in additi to profits from its regular operations. O Buying from suppliers ensures a smoother flow of parts and materials. O Companies can control quality better by purchasing from a supplier.

Managerial Economics: A Problem Solving Approach
5th Edition
ISBN:9781337106665
Author:Luke M. Froeb, Brian T. McCann, Michael R. Ward, Mike Shor
Publisher:Luke M. Froeb, Brian T. McCann, Michael R. Ward, Mike Shor
Chapter5: Investment Decisions: Look Ahead And Reason Back
Section: Chapter Questions
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Which of the following may be an advantage of buying a part instead of making it?
O Economies of scale can result in higher quality and lower costs from suppliers.
O Companies can realize profits from the parts and materials that it makes in addition
to profits from its regular operations.
O Buying from suppliers ensures a smoother flow of parts and materials.
O Companies can control quality better by purchasing from a supplier.
Transcribed Image Text:Which of the following may be an advantage of buying a part instead of making it? O Economies of scale can result in higher quality and lower costs from suppliers. O Companies can realize profits from the parts and materials that it makes in addition to profits from its regular operations. O Buying from suppliers ensures a smoother flow of parts and materials. O Companies can control quality better by purchasing from a supplier.
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