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Exam CSCP All Questions

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Exam CSCP topic 1 question 97 discussion

Actual exam question from APICS's CSCP
Question #: 97
Topic #: 1
[All CSCP Questions]

When determining lot sizes, consideration should be given to balancing which of the following costs?

  • A. Quality costs and product costs
  • B. Cost of goods sold (COGS) and indirect labor costs
  • C. Unit sales price and unit cost
  • D. Ordering costs and carrying costs
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Suggested Answer: C 🗳️

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Nowaz
Highly Voted 2 years, 9 months ago
The answer should be D. "In short, the EOQ is the order size that gives yo the lowest total cost for carrying cost and ordering (set up) costs. There's a need to balance these costs, because carrying costs tend to go up with larger order quantities while ordering costs tend to go down, since they respond to economies of scale."
upvoted 19 times
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abhi_15
Most Recent 1 year, 4 months ago
D should be the answer as lot size is determined through optimizing holding & ordering costs
upvoted 1 times
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Solidchuma
1 year, 7 months ago
Selected Answer: D
D should be the answer
upvoted 2 times
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A (35%)
C (25%)
B (20%)
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