Spacely Sprockets, Inc., usually pays $1,000 for a million flanges, which it uses as inputs in the manufacture of sprockets. It also spends an average of $20 per million flanges on finding manufacturers and negotiating contracts. Spacely is capable of making its own flanges at a cost of $980 per million. Given these costs, Spacely should stop paying the additional $20 to find and negotiate contracts and just buy the flanges outright for $1,000 per million
A. True
B. False