The Primary Reason for the General Lack of Design for Remanufacturing

question 67

True/False

The primary reason for the general lack of design for remanufacturing is that remanufacturing is more expensive for a manufacturer.

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Definitions:

Variable Costs

Costs that vary directly with the level of production or sales volume, such as materials and labor.

Fixed Costs

Costs that do not vary with the level of production or sales, such as rent, salaries, and insurance.

After-tax Profit

The net income of a company after all taxes have been deducted from revenues.

Industry Life Cycle

A concept describing the stages of growth and development that a sector or industry goes through, from emergence to decline.