C_IBP_2105 Exam Dumps | While modeling costs for optimization, you are conscious of the necessity to respect inventory targets

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SAP.C_IBP_2105.v2022-02-10.q28
Question 27

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Question 27/28

While modeling costs for optimization, you are conscious of the necessity to respect inventory targets and meet demands in the short term. Which of the following are valid relationships between costs you must adhere to? Note: There are 2 correct Answers to this question.

A. Target inventory violation cost should be greater than inventory holding cost rate.

B. Target inventory violation cost should be less than transportation cost rate.

C. Target inventory violation cost should be greater than discount for demand lateness.

D. Target inventory violation cost should be less than max inventory violation cost.

Correct Answer: A,B

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