Which of the following is not considered a criterion for a capital good:
a) the resource must be produced
b) the resource must be found in nature
c) the resource can be used to make other goods
d) none of the above

An outside supplier has offered to sell talbot similar wheels for $1.25 per wheel. if the wheels are purchased from the outside supplier, $15,000 of annual fixed overhead could be avoided and the facilities now being used could be rented to another company for $45,000 per year. direct labor is a variable cost. if talbot chooses to buy the wheel from the outside supplier, then annual net operating income would: