Deal of The Day! Hurry Up, Grab the Special Discount - Save 25% - Ends In 00:00:00 Coupon code: SAVE25
Welcome to Pass4Success

- Free Preparation Discussions
Mail Us support@pass4success.com
Location US
Mob_nav_barsMENU

GAQM CLSSBB-001 Exam - Topic 8 Question 88 Discussion

A Belt working in a supply chain environment has to make a decision to change suppliers of critical raw materials for a new product upgrade. The purchasing manager is depending on the Belt's effort requiring that the average cost of an internal critical raw material component be less than or equal to $4,200 in order to stay within budget. Using a sample of 35 first article components, a Mean of the new product upgrade price of $4,060, and a Standard Deviation of $98 was estimated. In order to increase the Long Term Z value to 4, what is the maximum long term variation in pricing the Belt can accept for his upgraded critical raw material component?
B) $35
A) $20
C) $70
D) $110

GAQM CLSSBB-001 Exam - Topic 8 Question 88 Discussion

Actual exam question for GAQM's CLSSBB-001 exam
Question #: 88
Topic #: 8
[All CLSSBB-001 Questions]

A Belt working in a supply chain environment has to make a decision to change suppliers of critical raw materials for a new product upgrade. The purchasing manager is depending on the Belt's effort requiring that the average cost of an internal critical raw material component be less than or equal to $4,200 in order to stay within budget. Using a sample of 35 first article components, a Mean of the new product upgrade price of $4,060, and a Standard Deviation of $98 was estimated. In order to increase the Long Term Z value to 4, what is the maximum long term variation in pricing the Belt can accept for his upgraded critical raw material component?

Show Suggested Answer Hide Answer
Suggested Answer: B

by Virgilio at Jun 26, 2026, 10:28 PM

Limited Time Offer

25%

Off

Get Premium CLSSBB-001 Questions as Interactive Web-Based Practice Test or PDF

Contribute your Thoughts:

0/2000 characters
Submit Cancel
Cordell
2 days ago
It keeps the variation low.
upvoted 0 times
...
Ben
7 days ago
Why A?
upvoted 0 times
...
Cordell
12 days ago
I’m leaning towards option A.
upvoted 0 times
...
Apolonia
18 days ago
I feel pressured by the numbers.
upvoted 0 times
...
Herman
23 days ago
I think it’s about understanding Z values.
upvoted 0 times
...
Ben
28 days ago
This question is tricky.
upvoted 0 times
...
Bev
1 month ago
I’m surprised they’re aiming for a Z value of 4, that’s ambitious!
upvoted 0 times
...
Shelton
1 month ago
Wait, can they really manage that much variation?
upvoted 0 times
...
Rebbecca
1 month ago
Totally agree, $70 seems more realistic!
upvoted 0 times
...
Dudley
2 months ago
I think $20 is way too low for variation.
upvoted 0 times
...
Pamella
2 months ago
The average cost is $4,060, so they need to keep it under $4,200.
upvoted 0 times
...
Mari
2 months ago
If I remember correctly, we need to calculate the acceptable variation based on the Z value and standard deviation. I feel like $70 could be a potential answer, but I'm not completely confident.
upvoted 0 times
...
Abel
2 months ago
I think to increase the Z value to 4, we might need to use the formula involving standard deviation. I just hope I remember how to apply it correctly!
upvoted 0 times
...
Elmira
2 months ago
This seems similar to a practice question we did on supplier selection. I think we need to find the difference between the mean and the target cost, but I can't recall the exact steps.
upvoted 0 times
...
Marva
2 months ago
I remember something about Z-scores and how they relate to standard deviations, but I'm not entirely sure how to calculate the maximum variation here.
upvoted 0 times
...

Save Cancel