The effect of life cycle stages (start-up,growth,maturity,and withdrawal) on equipment selection is:
A)significant.
B)significant in other areas but not in equipment.
C)not significantly affected by depreciation.
D)both b and c

Question

Quizplus · Accepted Answer

The life cycle stages have a significant impact on equipment selection because the equipment needs and requirements will change with each stage. For example, during the start-up phase, the focus may be on purchasing cost-effective equipment that can achieve the necessary output with minimal investment. In the growth phase, the focus may be on purchasing equipment that can handle higher volumes and increase efficiency. In the maturity phase, the focus may be on maintaining existing equipment and replacing equipment that is obsolete or no longer meeting the needs of the business. And in the withdrawal phase, the focus may be on selling or disposing of equipment that is no longer needed. Therefore, the impact of life cycle stages on equipment selection is significant.

The Effect of Life Cycle Stages (Start-Up,growth,maturity,and Withdrawal) on Equipment