In Keeping with the Current Trend of Increased Strategic Planning

question 1

Multiple Choice

In keeping with the current trend of increased strategic planning, how have management accountants changed their use of life-cycle costing?

• A)They have now shifted their focus from R&D costs to marketing and promotion costs.
• B)They have turned from a sole focus on manufacturing costs to a much wider outlook, taking into account costs from the entire product life-cycle.
• C)They stopped looking at the entire life-cycle, and now focus their attention on product design costs.
• D)Accountants don't use life-cycle costing, that task is left for the operations manager.

---

Definitions:

Continental Rift

A continental rift is a linear zone where the Earth's crust and lithosphere are being pulled apart, often leading to the formation of a new ocean basin.

Andes

A major mountain range in South America that extends over 7,000 km, known for its volcanic activity and diverse ecosystems.

Continental Shelf

The extended perimeter of each continent, lying relatively shallow in the ocean, where the seabed is at a gentle slope before a steep drop off to the ocean floor.

Passive Margin

The transition between oceanic and continental lithosphere that is not an active plate boundary.