APICS Certified Supply Chain Professional (CSCP) — Question 102

Tangible benefits of investing in information technology (IT) include:

Answer options

• A. reducing transaction costs.
• B. improved reliability.
• C. amortization of capital investment.
• D. easier financial reporting.

Correct answer: A

Explanation

The correct answer, A, highlights that investing in IT can lead to lower transaction costs, which is a direct and measurable benefit. Options B and D, while beneficial, are more abstract and do not directly correlate with tangible financial savings. Option C relates to accounting practices rather than immediate benefits of IT investment.