L3M3 practice question 15 of 15

Which of the following would not normally be included in a whole life cost calculation?

Full set: 90 questions
Answer options
A: Purchase price
B: Cost of setting up the tender Correct answer
C: Defective work, which needs to be rectified.
D: Inventory costs
Correct Answer:
B. Cost of setting up the tender
Explanation

Cost of setting up the tender which is not a cost of the item itself. All the other costs are related to the item itself.

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