Pete's Cola Company is investing..

Pete's Cola Company is investigating the possibility of adopting a lean thinking philosophy throughout their organization. Estimated costs to set up the computer system are $1,610,000; training employees in lean operations is estimated to cost $178,000; and the general expenses of establishing the program are estimated at $319,000. The estimated value of the potential savings is $1,980,000. Do the benefits outweigh the costs or do the costs outweigh the benefits, and by how much? Benefits outweigh costs by $192,000 Costs outweigh benefits by $127,000 Benefits outweigh costs by $127,000. Costs outweigh benefits by $192,000