Question 1

Which of the following is not a cost factor?

Accepted Answer

A)  Labour costs. 
B)  Materials costs. 
C)  Energy costs. 
D)  Supplier capacity utilization. 
A)  Labour costs. 
B)  Materials costs. 
C)  Energy costs. 
D)  Supplier capacity utilization. D

Question 2

Which of the following is not an activity associated with understanding how your suppliers work?

Accepted Answer

A)  Exchange best practices with suppliers. 
B)  Go to see how suppliers work. 
C)  Respect suppliers' capabilities. 
D)  Commit to co-prosperity. 
A)  Exchange best practices with suppliers. 
B)  Go to see how suppliers work. 
C)  Respect suppliers' capabilities. 
D)  Commit to co-prosperity. A

Question 3

Which of the following best explains 'payment discount'?

Accepted Answer

A)  Discount is based on volume ordered and buyers can realize a lower price per unit. 
B)  Discount is based on orders placed out of season for delivery later in the year. 
C)  Discount is based on the how fast the customer pays their bills. 
D)  Discount is based on customers 'proximity to the supplier's factory or distribution centre. 
A)  Discount is based on volume ordered and buyers can realize a lower price per unit. 
B)  Discount is based on orders placed out of season for delivery later in the year. 
C)  Discount is based on the how fast the customer pays their bills. 
D)  Discount is based on customers 'proximity to the supplier's factory or distribution centre. C

Question 4

Which of the following is not an external factor influencing the purchase price?

Accepted Answer

A)  Economic. 
B)  Socio-political. 
C)  Technological. 
D)  Technical. 
A)  Economic. 
B)  Socio-political. 
C)  Technological. 
D)  Technical.

Question 5

Which of the following best explains 'target-return pricing'?

Accepted Answer

A)  Price is based on expected demand for the product. 
B)  Price is based on the amount of profit that should be realized. 
C)  Price is based on the importance of the customer to the supplier. 
D)  Price is based on expected supply of the product. 
A)  Price is based on expected demand for the product. 
B)  Price is based on the amount of profit that should be realized. 
C)  Price is based on the importance of the customer to the supplier. 
D)  Price is based on expected supply of the product.

Question 6

Which of the following is not an example of a facility cost driver?

Accepted Answer

A)  Location-related wage rate difference. 
B)  Degree of vertical integration. 
C)  Use of automation. 
D)  Facility scale. 
A)  Location-related wage rate difference. 
B)  Degree of vertical integration. 
C)  Use of automation. 
D)  Facility scale.

Question 7

Which of the following best explains 'the supplier's specification'?

Accepted Answer

A)  The buyer knows precisely the cost of the material to be purchased. 
B)  The seller knows precisely the cost of the material to be purchased. 
C)  The buyer can only obtain a rough indication of the product's cost by means of demand market research. 
D)  The buyer can only obtain a rough indication of the product's cost by means of supply market research. 
A)  The buyer knows precisely the cost of the material to be purchased. 
B)  The seller knows precisely the cost of the material to be purchased. 
C)  The buyer can only obtain a rough indication of the product's cost by means of demand market research. 
D)  The buyer can only obtain a rough indication of the product's cost by means of supply market research.

Question 8

Which of the following is not a contributor to changes in the market structure?

Accepted Answer

A)  Change in demand. 
B)  Change in supply. 
C)  Change in supply side inventory. 
D)  Change in exchange rates. 
A)  Change in demand. 
B)  Change in supply. 
C)  Change in supply side inventory. 
D)  Change in exchange rates.

Question 9

Which of the following is not element exposed by cost modelling?

Accepted Answer

A)  Warranty costs. 
B)  The cost of use. 
C)  Actual acquisition costs that the company incurs in buying the materials. 
D)  Materials purchase prices. 
A)  Warranty costs. 
B)  The cost of use. 
C)  Actual acquisition costs that the company incurs in buying the materials. 
D)  Materials purchase prices.

Question 10

Which of the following is not a supplier segment?

Accepted Answer

A)  Strategic partners. 
B)  Competitive suppliers. 
C)  Performance partners. 
D)  Customers. 
A)  Strategic partners. 
B)  Competitive suppliers. 
C)  Performance partners. 
D)  Customers.

Question 11

Which of the following best explains 'quantity discount'?

Accepted Answer

A)  Discount is based on volume ordered and buyers can realize a lower price per unit. 
B)  Discount is based on orders placed out of season for delivery later in the year. 
C)  Discount is based on the how fast the customer pays their bills. 
D)  Discount is based on customers 'proximity to the supplier's factory or distribution centre. 
A)  Discount is based on volume ordered and buyers can realize a lower price per unit. 
B)  Discount is based on orders placed out of season for delivery later in the year. 
C)  Discount is based on the how fast the customer pays their bills. 
D)  Discount is based on customers 'proximity to the supplier's factory or distribution centre.

Question 12

Which of the following is not a supplier assessment method?

Accepted Answer

A)  Spreadsheets. 
B)  Qualitative assessments. 
C)  Vendor ratings. 
D)  Purchaser audits. 
A)  Spreadsheets. 
B)  Qualitative assessments. 
C)  Vendor ratings. 
D)  Purchaser audits.

Question 13

Which of the following is not a contributor to changes in the market structure?

Accepted Answer

A)  Change in exchange rates. 
B)  Change in supply. 
C)  Change in supply side inventory. 
D)  Change in supplier capacity utilization. 
A)  Change in exchange rates. 
B)  Change in supply. 
C)  Change in supply side inventory. 
D)  Change in supplier capacity utilization.

Question 14

Which of the following is not a factor influencing the fixing of the selling price?

Accepted Answer

A)  Expected demand. 
B)  Number of competitors in the market. 
C)  The customer's order volume. 
D)  Exchange rates. 
A)  Expected demand. 
B)  Number of competitors in the market. 
C)  The customer's order volume. 
D)  Exchange rates.

Question 15

Which of the following best explains mark-up pricing?

Accepted Answer

A)  A particular profit margin is added to some costs, including the cost of sales. 
B)  A particular profit margin is added to all costs, including the cost of sales. 
C)  A fixed percentage mark-up is added to the cost price. 
D)  A 5% profit margin is added to the cost of sales. 
A)  A particular profit margin is added to some costs, including the cost of sales. 
B)  A particular profit margin is added to all costs, including the cost of sales. 
C)  A fixed percentage mark-up is added to the cost price. 
D)  A 5% profit margin is added to the cost of sales.

Question 16

Which of the following is not an external factor influencing the purchase price?

Accepted Answer

A)  Economic. 
B)  Socio-political. 
C)  Technological. 
D)  Organizational. 
A)  Economic. 
B)  Socio-political. 
C)  Technological. 
D)  Organizational.

Question 17

Which of the following is not an internal factor influencing the purchase price?

Accepted Answer

A)  Economic. 
B)  Logistics. 
C)  Technical. 
D)  Organizational. 
A)  Economic. 
B)  Logistics. 
C)  Technical. 
D)  Organizational.

Question 18

Which of the following is not a financial indicator for assessing a supplier's financial position in relation to cash management?

Accepted Answer

A)  Cash flow/investments. 
B)  Inventory turnover ratio. 
C)  Inventory/sales ratio. 
D)  Turnover ratio of net capital employed. 
A)  Cash flow/investments. 
B)  Inventory turnover ratio. 
C)  Inventory/sales ratio. 
D)  Turnover ratio of net capital employed.

Question 19

Which of the following is not an activity associated with sharing information intensively but selectively with suppliers?

Accepted Answer

A)  Develop a common lexicon. 
B)  Hone core suppliers' innovation capabilities. 
C)  Build suppliers' problem-solving skills. 
D)  Get senior managers involved in solving problems. 
A)  Develop a common lexicon. 
B)  Hone core suppliers' innovation capabilities. 
C)  Build suppliers' problem-solving skills. 
D)  Get senior managers involved in solving problems.

Question 20

Which of the following is not an internal factor influencing the purchase price?

Accepted Answer

A)  Socio-political. 
B)  Logistics. 
C)  Technical. 
D)  Organizational. 
A)  Socio-political. 
B)  Logistics. 
C)  Technical. 
D)  Organizational.

Which of the following is not a cost factor?

Which of the following is not an activity associated with understanding how your suppliers work?

Which of the following best explains 'payment discount'?

Which of the following is not an external factor influencing the purchase price?

Which of the following best explains 'target-return pricing'?

Which of the following is not an example of a facility cost driver?

Which of the following best explains 'the supplier's specification'?

Which of the following is not a contributor to changes in the market structure?

Which of the following is not element exposed by cost modelling?

Which of the following is not a supplier segment?

Which of the following best explains 'quantity discount'?

Which of the following is not a supplier assessment method?

Which of the following is not a contributor to changes in the market structure?

Which of the following is not a factor influencing the fixing of the selling price?

Which of the following best explains mark-up pricing?

Which of the following is not an external factor influencing the purchase price?

Which of the following is not an internal factor influencing the purchase price?

Which of the following is not a financial indicator for assessing a supplier's financial position in relation to cash management?

Which of the following is not an activity associated with sharing information intensively but selectively with suppliers?

Which of the following is not an internal factor influencing the purchase price?

The Role of Purchasing in the Value Chain

Industrial Buying Behavior: Decision-Making in Purchasing

The Purchasing Management Process

Buying Business Services

Contract Management for Complex Projects

Public Procurement

Purchasing and Business Strategy

Outsourcing and Risk Management

Category Sourcing: Developing Effective Sourcing Strategies

Purchasing Innovation and Quality Management

Purchasing Logistics and Supply Chain Management

Purchasing Organization

Performance Measurement and Governance in Purchasing

Purchasing, Corporate Social Responsibility and Integrity

Filters

Exam 14: Cost Approaches and Techniques

Which of the following is not a cost factor?

Which of the following is not an activity associated with understanding how your suppliers work?

Which of the following best explains 'payment discount'?

Which of the following is not an external factor influencing the purchase price?

Which of the following best explains 'target-return pricing'?

Which of the following is not an example of a facility cost driver?

Which of the following best explains 'the supplier's specification'?

Which of the following is not a contributor to changes in the market structure?

Which of the following is not element exposed by cost modelling?

Which of the following is not a supplier segment?

Which of the following best explains 'quantity discount'?

Which of the following is not a supplier assessment method?

Which of the following is not a contributor to changes in the market structure?

Which of the following is not a factor influencing the fixing of the selling price?

Which of the following best explains mark-up pricing?

Which of the following is not an external factor influencing the purchase price?

Which of the following is not an internal factor influencing the purchase price?

Which of the following is not a financial indicator for assessing a supplier's financial position in relation to cash management?

Which of the following is not an activity associated with sharing information intensively but selectively with suppliers?

Which of the following is not an internal factor influencing the purchase price?

The Role of Purchasing in the Value Chain

Industrial Buying Behavior: Decision-Making in Purchasing

The Purchasing Management Process

Buying Business Services

Contract Management for Complex Projects

Public Procurement

Purchasing and Business Strategy

Outsourcing and Risk Management

Category Sourcing: Developing Effective Sourcing Strategies

Purchasing Innovation and Quality Management

Purchasing Logistics and Supply Chain Management

Purchasing Organization

Performance Measurement and Governance in Purchasing

Purchasing, Corporate Social Responsibility and Integrity

Filters