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Sample Essay – Life Cycle Cost
To start with, as already mentioned LCC is a business technique, which works as a comparative tool where there is a choice of options in the sense that it is concerned with analyzing the costs of a product, service, structure, or even a system by determining all the costs likely to be incurred when the particular product is used (businessdictionary.com).
In order to achieve this it takes into account the initial capital needed in acquiring the commodity, its maintenance costs, energy costs where fuel is involved, the replacement costs due to breakdown, and lastly but not the least its value( net worth ) at the end of the specified period of time.
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