Q: 5
Which of the following costing approaches directly reflects logistics performance?
Options
Discussion
A. since activity-based costing links expenses to specific logistics tasks. Pretty sure that's what the question wants but open to other views.
A tbh
A tbh. Activity-based costing actually tracks logistics expenses to specific activities, so you can see exactly how each function is performing. Total landed cost is more about the big picture, not really about pinpointing logistics performance. Unless I'm missing something, A lines up best here. Disagree?
B here seems right to me since total landed cost covers every expense from supplier to customer, which includes logistics. Landed cost gives a full picture of overall performance including shipping and handling. Maybe I'm missing something but I don't see how activity-based is more direct than that. Agree?
A or B? I get why people mention B since it covers all costs in the supply chain, but A (activity-based) actually tracks the performance of each logistics activity. Leaning slightly toward A but not 100% convinced. If anyone has real-world CSCP experience, would love a second opinion.
B , total landed cost makes the most sense since it counts everything like freight, duties, and warehousing. That's the broad logistics result in my mind. Could be off but that's why I lean B over A.
Probably A. B is tempting since total landed cost covers a lot, but activity-based costing actually breaks down costs by logistics function.
B here seems logical since total landed cost adds up everything from shipping to warehousing to tariffs, so it definitely measures logistics in the bigger picture. I think that's what reflects logistics performance. Open to being convinced otherwise.
B not seeing why A is more direct since total landed covers all logistics elements.
A , since activity-based costing tracks cost by individual logistics activities like shipping or warehousing, making it easier to connect cost to actual logistics performance. Total landed (B) is broader and doesn't break down where the costs come from as directly. Correct me if you see it differently.
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