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CIPS Exam L4M2 Topic 6 Question 58 Discussion

Actual exam question for CIPS's L4M2 exam
Question #: 58
Topic #: 6
[All L4M2 Questions]

A manufacturing organisation has initiated a project focusing on costs, with a view to making significant savings. A procurement manager is leading the project. The initial data sources have focused on the cost of raw materials. Which of the following describes this cost?

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Suggested Answer: A

by Marjory at May 04, 2025, 01:30 AM

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Anna
2 months ago
Haha, this question is making my head spin! I'm just going to guess and hope for the best.
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Polly
1 months ago
B) Indirect, variable costs
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Brandon
1 months ago
A) Direct, variable costs
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Dexter
2 months ago
This is a tricky one, but I'm leaning towards D. The raw material costs are probably an indirect, fixed cost for the organization.
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Daren
3 months ago
I'm going with C. The raw material costs seem like they would be a direct, fixed cost as they don't change with production volume.
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Trinidad
29 days ago
User 4: I see your point, but I still think it's C. Fixed costs are more stable and predictable.
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Candida
1 months ago
User 3: I'm going with A too. Direct costs are directly tied to production.
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Kallie
2 months ago
User 2: I disagree, I believe it's C. Raw material costs are fixed and don't vary with production levels.
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Dolores
2 months ago
User 1: I think it's A. Raw materials are directly related to production.
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Alesia
3 months ago
I believe it's direct, fixed costs because raw materials are essential for production and their cost remains constant regardless of production volume.
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Brandon
3 months ago
I'm not sure, but I think it could also be indirect, variable costs depending on how the procurement manager is categorizing the expenses.
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Evangelina
3 months ago
I agree with Brice, because raw materials are directly related to the production process and can vary in price.
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Billye
3 months ago
Hmm, I'm not so sure. I was thinking it could be B since the raw material costs might be considered indirect to the final product.
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Phil
2 months ago
Clay: Maybe we should consider both A) and B) as possibilities.
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Nichelle
2 months ago
User 3: I believe it might be A) Direct, variable costs as well.
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Clay
2 months ago
User 2: I'm not so sure, I was leaning towards B) Indirect, variable costs.
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Delmy
2 months ago
User 1: I think it could be A) Direct, variable costs.
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Brice
3 months ago
I think the cost of raw materials would be direct, variable costs.
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Caitlin
4 months ago
I think the answer is A. The cost of raw materials is a direct, variable cost since it changes with the level of production.
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Cristy
2 months ago
User 3: Yes, it changes with the level of production.
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Tasia
2 months ago
User 2: I agree, the cost of raw materials is a direct, variable cost.
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Reena
3 months ago
User 1: I think the answer is A.
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