Which of the Following Is a Disadvantage of Using Target

Multiple Choice

Which of the following is a disadvantage of using target costing?

A) It may lead to an increase in all the non-value added cost of the product
B) It may lead to a product being in development stage for a long time as the team repeatedly evaluates alternative designs.
C) It may lead to increased employee participation in the cost reduction process of the organization thereby making it impossible to co-ordinate the process.
D) It eliminates creativity in the manufacturing process as the focus is always on cost reduction and cost elimination.