CIPS L4M7 Exam - Topic 10 Question 6 Discussion

Actual exam question for CIPS's L4M7 exam

Question #: 6
Topic #: 10

[All L4M7 Questions]

Company XYZ is a candy manufacturer. Company XYZ makes a batch of 1,000 Christmas candy canes that are no longer edible after December 31. Company XYZ is able to sell 750 canes of the batch, but the other 250 are sitting in the warehouse. December 31 comes, and these candy canes is no longer sell-able. The batch of 250 candy canes belongs to which type of inventory?

AObsolete inventory

BBuffer stock

CRedundant inventory

DStockout

Show Suggested Answer

Suggested Answer: A

Obsolescent stock is stock, usually finished goods, which is in good condition and satisfactory working but for which demand is irreversibly falling towards zero. Once this demand reaches zero the stock can be considered 'obsolete'. It cannot be used or sold in its current state. Food ingredients (like candy canes) which are out of date are another example.

LO 2, AC 2.1

by Elvera at Oct 17, 2022, 08:27 PM

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Celia

4 months ago

Wow, I didn't know candy could expire like that!

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Lashawn

4 months ago

Buffer stock doesn't fit here, right?

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Lashawnda

4 months ago

Wait, are we sure it's not redundant inventory?

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Marti

4 months ago

I agree, those can't be sold anymore.

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Bernardine

4 months ago

Definitely obsolete inventory!

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Anika

5 months ago

I’m confused about the terms. Redundant inventory sounds familiar, but I don’t think it applies to these candy canes.

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Linn

5 months ago

I feel like this is similar to a practice question we did about expired products. I think obsolete inventory fits best.

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Tracey

5 months ago

I'm not entirely sure, but I remember something about buffer stock being extra inventory kept on hand. Is that relevant here?

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Coletta

5 months ago

I think the 250 candy canes would be considered obsolete inventory since they can't be sold after the expiration date.

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Antione

5 months ago

I'm pretty confident I know the answer to this one. The Network VRU and Skill Targets are the two components that must be configured for CCE to start routing the contact.

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Oretha

5 months ago

Okay, let me see if I can break this down. Public groups and private OWD... I'm guessing the answer has something to do with enabling anonymous access, but I'm not totally sure.

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Whitley

5 months ago

This seems like a straightforward question about the default admin username for the Activiti application. I'll carefully review the options and select the one that matches the expected format.

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