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A Graph Comparing Locked-In Costs with Incurred Costs Will Have

Question 31

Multiple Choice

A graph comparing locked-in costs with incurred costs will have:


A) locked-in costs rising much faster initially than the incurred cost,but joining the incurred cost line at the completion of the value-chain functions.
B) locked-in costs rising much faster initially,but dropping to zero after the product is manufactured.
C) no differences unless the product is manufactured inefficiently.
D) the two cost lines running parallel until the end of the process,when they join.

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