LIFE CYCLE COSTING

Life cycle costing evaluates all costs associated with a product throughout its entire life cycle, from development to disposal. So we can simplify the analysis, for products with an even weighting of costs over their life, being distributed evenly, it becomes easier to predict and manage the total expenses associated with the product. But, even if costs are not evenly spread, life cycle costing can still provide valuable insights into the total cost implications and profitability of a product.