APICS Certified in Logistics, Transportation and Distribution (CLTD) — Question 88

The key factors in modal determination when comparing the trade-off between cost and service include:

Answer options

• A. distance and load size.
• B. carrier capacity and distance.
• C. distance and carrier rates.
• D. carrier rates and load size.

Correct answer: D

Explanation

The correct answer, D, highlights that both carrier rates and load size significantly influence the cost-service trade-off in modal determination. Options A, B, and C, while relevant, do not encompass the critical interplay of shipping costs and load size that ultimately affects decision-making in transportation mode selection.