APICS Exam CPIM Topic 3 Question 110 Discussion

Actual exam question for APICS's CPIM exam

Question #: 110
Topic #: 3

[All CPIM Questions]

If the volume is greater than the cost equalization point, the method with the greater variable cost will cost less.

ATrue

BFalse

Show Suggested Answer

Suggested Answer: B

by Mose at Apr 09, 2025, 01:50 PM

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Carmen

3 days ago

I think the answer is A) True.

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Mickie

3 days ago

Hmm, I don't know about this one. Seems a bit counterintuitive, but I'll go with True just to be different.

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Janine

4 days ago

I'm pretty sure the answer is False. The cost equalization point is where the fixed and variable costs are equal, so above that point the method with the lower variable cost will be cheaper.

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