Total Cost of Ownership (TCO)can Be Used To

question 1

Multiple Choice

Total cost of ownership (TCO) can be used to:

• A)highlight cost reduction opportunities.
• B)compare suppliers in a supplier selection decision.
• C)prepare for a negotiation.
• D)assess the reasonableness of a supplier's prices.
• E)highlight cost reduction opportunities,compare suppliers in a supplier selection decision,prepare for a negotiation and assess the reasonableness of a supplier's prices.

---

Definitions:

Depreciation

The reduction in the value of an asset over time, typically due to wear and tear, usage, or aging.

GDP

Gross Domestic Product, the total value of all goods and services produced within a country over a specified period, typically a year.

Imports

Goods or services brought into one country from another for sale.

Exports

Goods or services sent from one country to be sold in another country.