Raj's Company Can Either Make the Components or Buy Them

Multiple Choice

Raj's company can either make the components or buy them. He should decide to make the components rather than buy them from a supplier

A) when utilization of plant capacity permits more economical production.
B) when an outside supplier specializes in the production of that component.
C) if in-house operations can concentrate on the firm's specialty-the finished product.
D) if the risk of equipment obsolescence can be transferred to the supplier.