APICS Certified Supply Chain Professional (CSCP) — Question 163

Which of the following costs are likely to be incurred in reverse logistics?

Answer options

• A. Warranty and ordering
• B. Warranty and restocking
• C. Restocking and obsolescence
• D. Obsolescence and carrying

Correct answer: B

Explanation

The correct answer is B, as warranty costs arise from returned products and restocking costs are incurred when items are brought back into inventory. Options A, C, and D include costs that are not directly related to the specific processes of reverse logistics, such as ordering and carrying costs.