CPCM Assortment Analysis Test
Questions and Answers All Correct
•Which of the following is an example of assortment strategies? - Answer-All of the
above: first to market, market coverage objectives, broad assortment, private label
strategy
•The opposite effect of cannibalization is incremental contribution. - Answer-TRUE
• Identify a reason activity based costing may not be effective. - Answer-Retailer's
inability to track detailed cost data
•Which of the following are justifications for expanding within a category? - Answer-All of
the above: category growth, reduce category items, changing consumer preferences,
changes in category profitability
•When you're integrating assortment recommendations with your space planning
software, it's best to import the assortment recommendations directly into the software
and planogram. Is this state true or false? - Answer-TRUE
•What is a measure besides All Commodity Volume that you can use to understand
product distribution at an item level? - Answer-% of stores carrying
•Refer to the diagram. If the retailer's market coverage objective is 80, how many SKUs
should they carry in this segment to meet their objective? - Answer-4
•What definition most accurately describes incremental contribution? - Answer-
Incremental contribution identifies numerically the benefit of adding an item to a
category assortment
•Define activity based costing - Answer-A method to accurately identify overhead costs
not tied to direct labor
•Item level assortment with a category should be different across retailers within the
same channel - Answer-TRUE: Assortment choices for different retailers are determined
by different target consumers
•Which is not the correct formula for GMROII? - Answer-Gross Profit/Total Inventory
Cost
•Which of the following are considerations in creating assortment recommendations? -
Answer-Identifying the market that will be used as a performance comparison,
Questions and Answers All Correct
•Which of the following is an example of assortment strategies? - Answer-All of the
above: first to market, market coverage objectives, broad assortment, private label
strategy
•The opposite effect of cannibalization is incremental contribution. - Answer-TRUE
• Identify a reason activity based costing may not be effective. - Answer-Retailer's
inability to track detailed cost data
•Which of the following are justifications for expanding within a category? - Answer-All of
the above: category growth, reduce category items, changing consumer preferences,
changes in category profitability
•When you're integrating assortment recommendations with your space planning
software, it's best to import the assortment recommendations directly into the software
and planogram. Is this state true or false? - Answer-TRUE
•What is a measure besides All Commodity Volume that you can use to understand
product distribution at an item level? - Answer-% of stores carrying
•Refer to the diagram. If the retailer's market coverage objective is 80, how many SKUs
should they carry in this segment to meet their objective? - Answer-4
•What definition most accurately describes incremental contribution? - Answer-
Incremental contribution identifies numerically the benefit of adding an item to a
category assortment
•Define activity based costing - Answer-A method to accurately identify overhead costs
not tied to direct labor
•Item level assortment with a category should be different across retailers within the
same channel - Answer-TRUE: Assortment choices for different retailers are determined
by different target consumers
•Which is not the correct formula for GMROII? - Answer-Gross Profit/Total Inventory
Cost
•Which of the following are considerations in creating assortment recommendations? -
Answer-Identifying the market that will be used as a performance comparison,
