Resources sacrificed on activities undertaken to support product lines are which of the following?
A)market-sustaining costs
B)output unit-level costs
C)batch-level costs
D)facility-sustaining costs
E)product-sustaining (service-sustaining)costs

Question

Quizplus · Accepted Answer

Resources sacrificed on activities undertaken to support product lines are known as product-sustaining (or service-sustaining) costs. These costs are specific to the particular product or service and are necessary for the product or service to be produced and delivered. Examples of product-sustaining costs include product development, advertising, and customer service.

Resources Sacrificed on Activities Undertaken to Support Product Lines Are