CPIM Practice Exam

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Prepare for the CPIM Exam with a comprehensive quiz that features insightful questions and real-time feedback. Enhance your knowledge and understanding of inventory and production management to pass your certification test with confidence!

Each practice test/flash card set has 50 randomly selected questions from a bank of over 500. You'll get a new set of questions each time!

Practice this question and more.

What type of costs are associated with in-line inspections?

Prevention Costs
External Failure Costs
Appraisal Costs
Internal Failure Costs

The correct answer is: Appraisal Costs

In-line inspections are quality control processes conducted during production to ensure that products meet specified standards and requirements. The associated costs are primarily seen as appraisal costs. Appraisal costs are incurred to evaluate the products or services for conformance to quality standards before they reach the customer. This includes the cost of inspections, testing, and the monitoring of processes to identify defects early. In-line inspections help to catch issues as they occur, thus enabling corrective actions to be taken promptly before products are completed and shipped. By investing in in-line inspections, organizations can minimize the likelihood of defective products reaching the market, which can ultimately reduce costs associated with rework and failures. Thus, the cost associated with in-line inspections is accurately classified as appraisal costs, reflecting the proactive steps taken to ensure quality and reduce potential failure rates.