Life-Cycle Budgeting and Life-Cycle Costing Help Highlight

question 64

Multiple Choice

Life-cycle budgeting and life-cycle costing help highlight:

• A)large ordering costs due to the great number of component parts used.
• B)an increase in customer-service costs due to using inferior materials.
• C)an increase in annual operating profit resulting from the new product.
• D)high production costs caused by a complex design.

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Definitions:

Stakeholder Orientation

The approach of a company that prioritizes the interests and well-being of all its stakeholders, including employees, customers, shareholders, and the community.

Primary

Refers to the first or most significant in order or importance.

Tertiary

Relating to the third level or stage of something; in education, it refers to post-secondary education such as universities and colleges.

Normative Approach

An aspect of ethics that concerns the criteria of what is right or wrong, focusing on the moral standards that guide behavior within a society or organization.