Questions:
1. What are the four stages of the consumption life cycle? What are post-purchase costs? Explain why a producer may want to know post-purchase costs.
2. "Life-cycle cost reduction is best achieved during the development stage of the production life cycle." Do you agree or disagree? Explain.
3. What is target costing? What role does it have in life-cycle cost management?
4. Explain why JIT with dedicated cellular manufacturing increases product costing accuracy.
5. Explain how backflush costing works.