Which costing system focuses on all costs along the value chain?
A) Activity-based costing.
B) Process costing.
C) Life cycle costing.
D) Absorption costing.

Question

Quizplus · Accepted Answer

Life cycle costing takes into account all costs incurred throughout the value chain, from research and development to disposal or end-of-life. It considers not only manufacturing costs, but also costs associated with distribution, marketing, and customer service. As a result, it provides a more comprehensive view of product costs and helps identify areas where cost savings can be achieved.

Which Costing System Focuses on All Costs Along the Value