When Using Life-Cycle Costing as One of the Criteria for Evaluating

question 99

Multiple Choice

When using life-cycle costing as one of the criteria for evaluating and selecting a supplier for a new oil well drilling platform,a purchasing agent should look at:

• A) the initial cost of the platform.
• B) the estimated maintenance cost for the platform over a ten-year period.
• C) how soon the platform will need to be replaced.
• D) the cost of installing the platform at a drilling site.
• E) all of the above

---

Definitions:

Telecommute

The practice of working from a remote location, outside of a traditional office environment, often using technology to stay connected.

Ethical Lapse

A failure to behave in an ethical manner, often resulting in actions that violate moral principles or standards.

Ethical Dilemma

A situation in which a person must choose between two or more actions, each of which is morally compelling in different ways.

Ethical Lapse

A temporary failure to maintain ethical standards, resulting in behavior that is morally wrong or violates company policies.