Using the Life-Cycle Costing Approach,salespeople Can Demonstrate That

question 39

Multiple Choice

Using the life-cycle costing approach,salespeople can demonstrate that:

• A) a product in the decline stage of its product life cycle will have little, if any, service.
• B) a product with a higher initial cost will have lower overall costs.
• C) operational costs do not change over the life time of capital equipment.
• D) a product in the introductory stage of its product life cycle will have more problems than one in a later stage.
• E) operational costs actually decrease over the life time of capital equipment due to increased familiarity.

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Definitions:

Industrial North

The region in a country, historically in the United States, known for its heavy industry and manufacturing, contrasting with the agrarian South.

Protective Tariffs

Tariffs imposed by a country to protect its domestic industries from foreign competition by increasing the cost of imported goods.

Trade Deficit

A situation that occurs when a country imports more goods and services than it exports.

Import

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