Concerns about target costing include all EXCEPT that:
A)attention may be diverted away from other company goals.
B)excessive pressure is put on suppliers.
C)development time may decrease.
D)burnout of design engineers occurs.

Question

Quizplus · Accepted Answer

Target costing primarily focuses on reducing costs to meet market-driven price points, which can lead to various pressures within an organization and its supply chain. However, the concern that development time may decrease is not typically associated with target costing. Instead, target costing can lead to more efficient development processes to meet cost objectives, but the primary concerns are about the potential negative impacts on company goals, supplier relationships, and employee well-being.

Concerns About Target Costing Include All EXCEPT That