All other things being equal, if the incremental costs of making a product exceed the incremental costs of outsourcing the product, it should be outsourced.

Question

Quizplus · Accepted Answer

This statement is true. If the incremental costs of making a product exceed the incremental costs of outsourcing the product, it means that it is cheaper to outsource the product rather than producing it in-house. Therefore, outsourcing would be the best option in terms of minimizing costs.

All Other Things Being Equal, If the Incremental Costs of Making