I have a question regarding lifecycle costing.pricing in lifecycle costing in particular.when setting a price for a product how are design and development costs treated? In some questions in the kit it adds up all the costs of the lifecycle including design and development and then divides it by the total units to be produced in the lifecycle to arrive at cost per unit and then adds up the desired profit. There are some questions where these design and development costs are treated as sunk cost when setting a price.