In a make or buy situation, the decision should always be to purchase the component if the vendor's quoted price is less than the in-house estimated cost of the component:

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Quizplus · Accepted Answer

it's a little more complicated because of overhead costs in the factory.for example, if purchasing a part causes a production machine , its operator to be idle, the company still has to pay for those resources.if they are not used, the actual cost of buying a part becomes more expensive.

In a Make or Buy Situation, the Decision Should Always