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Exam MB-335 topic 1 question 151 discussion

Actual exam question from Microsoft's MB-335
Question #: 151
Topic #: 1
[All MB-335 Questions]

A vendor plans to supply replacements for a product that they manufactured.

The cost associated with manufacturing most components of the replacement product differ from costs associated with the original product.

You need to plan for the new cost of the item in determining the sales price.

Which costing version explosion mode should you use?

  • A. According to BOM line type
  • B. Single level
  • C. Multilevel
  • D. Make to Order
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Suggested Answer: C 🗳️
by Angieline at July 5, 2024, 11:14 a.m.

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IlseKH
5 months, 1 week ago
Selected Answer: C
Single level - The calculated cost reflects the previously calculated costs of first-level manufactured components. Multilevel - The calculated cost reflects a complete recalculation of costs for all manufactured components in a multilevel bill. According to BOM line type - The calculated cost reflects a complete recalculation of costs for all manufactured components, but considers the BOM line type of a manufactured component. For cost calculation purposes, a manufactured component will be treated as a purchased item when the BOM line type is item. This option (according to BOM line type) replicates the cost calculations for production order estimates. Make to order - The calculated cost reflects a complete recalculation for all manufactured components, but the specified quantity will be used to amortize constant costs that are associated with manufactured components (rather than each item’s standard order quantity).
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CCexamn
8 months, 2 weeks ago
Plan for new cost = Planning = mulitlevel. Single level = standard cost It is not "According to bom line type" nor "make to order".
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