Ignoring time value of money, what is the relevant cost related to Lean & Mean for this decision? 06. Which department is often responsible for a direct materials variance based on useage? A. The accounting department B. The production department …..Alex…Lina……Don ….. C. The purchasing department….Lina ….. D. The budgeting department 07. The Alberto Company produces flags and promotional signs and has the following costs related to the production of metal grommets used to attach the flags to various surfaces (1) wages for assembly staff $10,000 (2) rent on the factory $3,000 (3) metal $20,000 and (4) utilities for the factory $500. The company is considering purchasing the grommets from a supplier; if so, a portion of the factory could be sub-leased for $1,500. At what purchase price is the company indifferent between making or buying?
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