Fixed-plus unit variable cost for the in-house make option

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Reference no: EM131962619

1. The SUM function in Excel________

A. adds all the cells specified by a given condition or criteria.

B. adds the numbers in a range of cells.

C. counts the number of cells in the range.

D. adds all the positive numbers in the range of cells.

E. add all the numbers in the cells diagnally.

2. A purchasing make-or-buy model consists of a unit variable cost for an outsource vendor and a fixed-plus unit variable cost for the in-house "make" option. As the fixed cost increases, what happens?

A. The difference becomes indeterminate.

B. The point of indifference decreases with respect to volume.

C. The point of indifference increases with respect to the volume.

D. Nothing can be concluded.

E. The "buy" option always becomes more attractive.

Reference no: EM131962619

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