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Exam CSCP topic 1 question 554 discussion

Actual exam question from APICS's CSCP
Question #: 554
Topic #: 1
[All CSCP Questions]

A company evaluating supply chain options compares the lower costs associated with moving to a geographically distant area to the increased costs associated with achieving smooth, consistent, and timely flow of material. The company is determining:

  • A. total cost of ownership (TCO).
  • B. direct and indirect cost alignment.
  • C. complete cost considerations.
  • D. full-cost evaluation.
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Suggested Answer: A 🗳️
by CSPark000 at June 14, 2023, 1:29 p.m.

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Rajiv8047
1 year ago
Selected Answer: A
Total Cost of Ownership (TCO) concept involves considering all the direct and indirect costs associated with the acquisition, operation, and maintenance of a purchase or decision over its entire life cycle.
upvoted 1 times
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MahiSN
1 year, 4 months ago
Selected Answer: A
(TCO)–In supply chain management, the total cost of ownership of the supply delivery system is the sum of all the costs associated with every activity of the supply stream. The main insight that TCO offers to the supply chain manager is the understanding that the acquisition cost is often a very small portion of the total cost of ownership.
upvoted 2 times
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CSPark000
1 year, 5 months ago
Selected Answer: A
Looks A ?
upvoted 2 times
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