Which of the following costs is NOT relevant to a make-or-buy decision?

Question

Answer

£30 000 of depreciation on the plant used to manufacture the parts

Answer

£10 000 of direct labour used to manufacture the parts

Answer

£15 000 in rent from leasing the production space to another company if the part is purchased from an outside supplier

Answer

the supervisor's salary of £25 000 that will be avoided if the part is purchased from an outside supplier

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