SCM201 FINAL EXAM 2026 QUESTIONS AND
SOLUTIONS GRADED A+
✔✔61. When using negotiating a/an _____, it is necessary to include a/an _____ that
allows a buyer to terminate the contract in the event of persistently poor quality, delivery
problems, and so on.
a. spot buy contract....evergreen clause
b. RFP....RFQ
c. purchase order....purchase agreement
d. blanket purchase order....escape clause
e. online catalog....RFP - ✔✔D
✔✔62. In a _____, the price stated in the agreement does not change, regardless of
fluctuations in general overall economic conditions, industry competition, levels of
supply, market prices, or other environmental changes.
a. blanket purchase order
b. RFQ
c. cost-based contract
d. material purchase release
e. fixed-price contract - ✔✔E
✔✔63. In a _____, the supplier is reimbursed all of their actual costs plus some agreed
on operational margin and overhead amount.
a. RFP
b. cost-based contract
c. material purchase release
d. fixed-price contract
e. reverse auction - ✔✔B
✔✔64. The _____, which the supplier provides, details the contents of a shipment and
contains the description and quantity of the items in a shipment.
a. material packing slip
b. purchase requisition
c. bill of lading
d. electronic funds transfer
e. request for quotation - ✔✔A
✔✔65. Transportation carriers use a/an _____ to record the quantity of goods delivered
to a facility.
a. electronic transfer of funds
b. material packing slip
c. receiving discrepancy report
d. bill of lading
e. purchase order - ✔✔D
,✔✔66. The _____ helps protect the carrier against wrongful allegations that the carrier
somehow damaged, lost, or otherwise tampered with a shipment.
a. bill of lading
b. material packing slip
c. invoice
d. material purchase release
e. blanket purchase order - ✔✔A
✔✔67. Which of the following is false regarding concealed damage?
a. A user may discover concealed damages after opening a shipping container.
b. Responsibility for concealed damage is often difficult to establish.
c. The carrier may blame the supplier or maintain that the damage occurred after
delivery of the material.
d. The supplier may maintain total innocence and implicate the carrier.
e. The bill of lading protects the carrier against charges of concealed damage. - ✔✔E
✔✔68. A _____ details any shipping or receiving discrepancies noted by the receiving
department.
a. receiving discrepancy report
b. bill of lading
c. material packing slip
d. change notice
e. RFP - ✔✔A
✔✔69. The _____ purchase category includes such items are petroleum, coal, lumber,
and metals such as copper and zinc.
a. semifinished products and components
b. finished products
c. MRO items
d. raw materials
e. capital equipment - ✔✔D
✔✔70. A key characteristic of a/an _____ is a lack of processing by the supplier into a
newly formed product.
a. component
b. semifinished product
c. finished good
d. MRO item
e. raw material - ✔✔E
✔✔71. Suppliers are more often being paid through _____, which is the automatic
transfer of payment from the buyer's bank account to the supplier's bank account.
a. RFQ
b. EFT
c. MRO
,d. PO
e. None of the above. - ✔✔B
✔✔72. _____ include anything that does not go directly into an organization's product.
a. MRO items
b. Raw materials
c. Production support items
d. Services
e. Semifinished products and components - ✔✔A
✔✔73. _____ include(s) the materials required to pack and ship final products, such as
pallets, boxes, master shipping containers, tape, bags, wrapping, inserts, and other
packaging material.
a. Raw materials
b. Production support items
c. Semifinished products
d. Components
e. Work-in-process inventory - ✔✔B
✔✔74. Which of the following is not a feature that separates capital equipment
purchases from other purchases?
a. Capital equipment purchases do not occur with regular frequency.
b. Capital equipment investment requires large sums of money.
c. For accounting purposes, most capital equipment is not depreciable over the life of
the item.
d. Buyers can rarely switch suppliers in the middle of a large-scale project or dispose of
capital equipment after delivery because of dissatisfaction.
e. Capital equipment is highly sensitive to general economic conditions. - ✔✔C
✔✔75. All the following are expected growth areas in e-commerce except _____.
a. transmitting purchase orders to suppliers
b. Submitting requests for quotes to suppliers
c. placing orders with suppliers
d. making electronic funds transfer payments
e. submitting written check requests to accounts payable - ✔✔E
✔✔76. Once a purchaser and a supplier reach agreement on a longer-term purchase
contract, material releasing responsibility should shift to _____.
a. marketing
b. purchasing
c. the supplier
d. user groups
e. accounts payable - ✔✔D
, ✔✔77. While similar in concept, blanket purchase orders are typically used more often
for _____ purchases.
a. unique
b. lower-value
c. complex
d. spot buy
e. There are no differences in the types of products or amounts purchased in either
method. - ✔✔B
✔✔78. Which of the following is not an advantage of online ordering systems?
a. Immediate visibility to back-ordered items.
b. Longer order cycle time from input to delivery.
c. Faster order input time.
d. Reduced ordering errors.
e. Ability to batch multiple items from multiple users on a single order. - ✔✔B
✔✔79. [A/An] _____ involves a communications standard that supports inter-
organizational electronic exchange of common business documents and information.
a. electronic catalog
b. cloud-based ordering system
c. Procure-to-pay
d. electronic data interchange
e. blanket purchase order - ✔✔D
✔✔CHAP4
41. _____ involves professionally managing suppliers and developing close working
relationships with different internal groups.
a. Purposeful cooperation
b. Program management
c. Credible commitment
d. Supply integration
e. Relationship management - ✔✔D
✔✔42. _____ is the process of incorporating or bringing together different groups,
functions, or organizations, either formally or informally, physically or by information
technology, to work jointly and often concurrently on a common business-related
assignment or purpose.
a. Cooptation
b. Program management
c. Collaboration
d. Collusion
e. Integration - ✔✔E
✔✔43. Which of the following are not considered relationship management skills?
a. Ability to conduct detailed price and cost analyses
SOLUTIONS GRADED A+
✔✔61. When using negotiating a/an _____, it is necessary to include a/an _____ that
allows a buyer to terminate the contract in the event of persistently poor quality, delivery
problems, and so on.
a. spot buy contract....evergreen clause
b. RFP....RFQ
c. purchase order....purchase agreement
d. blanket purchase order....escape clause
e. online catalog....RFP - ✔✔D
✔✔62. In a _____, the price stated in the agreement does not change, regardless of
fluctuations in general overall economic conditions, industry competition, levels of
supply, market prices, or other environmental changes.
a. blanket purchase order
b. RFQ
c. cost-based contract
d. material purchase release
e. fixed-price contract - ✔✔E
✔✔63. In a _____, the supplier is reimbursed all of their actual costs plus some agreed
on operational margin and overhead amount.
a. RFP
b. cost-based contract
c. material purchase release
d. fixed-price contract
e. reverse auction - ✔✔B
✔✔64. The _____, which the supplier provides, details the contents of a shipment and
contains the description and quantity of the items in a shipment.
a. material packing slip
b. purchase requisition
c. bill of lading
d. electronic funds transfer
e. request for quotation - ✔✔A
✔✔65. Transportation carriers use a/an _____ to record the quantity of goods delivered
to a facility.
a. electronic transfer of funds
b. material packing slip
c. receiving discrepancy report
d. bill of lading
e. purchase order - ✔✔D
,✔✔66. The _____ helps protect the carrier against wrongful allegations that the carrier
somehow damaged, lost, or otherwise tampered with a shipment.
a. bill of lading
b. material packing slip
c. invoice
d. material purchase release
e. blanket purchase order - ✔✔A
✔✔67. Which of the following is false regarding concealed damage?
a. A user may discover concealed damages after opening a shipping container.
b. Responsibility for concealed damage is often difficult to establish.
c. The carrier may blame the supplier or maintain that the damage occurred after
delivery of the material.
d. The supplier may maintain total innocence and implicate the carrier.
e. The bill of lading protects the carrier against charges of concealed damage. - ✔✔E
✔✔68. A _____ details any shipping or receiving discrepancies noted by the receiving
department.
a. receiving discrepancy report
b. bill of lading
c. material packing slip
d. change notice
e. RFP - ✔✔A
✔✔69. The _____ purchase category includes such items are petroleum, coal, lumber,
and metals such as copper and zinc.
a. semifinished products and components
b. finished products
c. MRO items
d. raw materials
e. capital equipment - ✔✔D
✔✔70. A key characteristic of a/an _____ is a lack of processing by the supplier into a
newly formed product.
a. component
b. semifinished product
c. finished good
d. MRO item
e. raw material - ✔✔E
✔✔71. Suppliers are more often being paid through _____, which is the automatic
transfer of payment from the buyer's bank account to the supplier's bank account.
a. RFQ
b. EFT
c. MRO
,d. PO
e. None of the above. - ✔✔B
✔✔72. _____ include anything that does not go directly into an organization's product.
a. MRO items
b. Raw materials
c. Production support items
d. Services
e. Semifinished products and components - ✔✔A
✔✔73. _____ include(s) the materials required to pack and ship final products, such as
pallets, boxes, master shipping containers, tape, bags, wrapping, inserts, and other
packaging material.
a. Raw materials
b. Production support items
c. Semifinished products
d. Components
e. Work-in-process inventory - ✔✔B
✔✔74. Which of the following is not a feature that separates capital equipment
purchases from other purchases?
a. Capital equipment purchases do not occur with regular frequency.
b. Capital equipment investment requires large sums of money.
c. For accounting purposes, most capital equipment is not depreciable over the life of
the item.
d. Buyers can rarely switch suppliers in the middle of a large-scale project or dispose of
capital equipment after delivery because of dissatisfaction.
e. Capital equipment is highly sensitive to general economic conditions. - ✔✔C
✔✔75. All the following are expected growth areas in e-commerce except _____.
a. transmitting purchase orders to suppliers
b. Submitting requests for quotes to suppliers
c. placing orders with suppliers
d. making electronic funds transfer payments
e. submitting written check requests to accounts payable - ✔✔E
✔✔76. Once a purchaser and a supplier reach agreement on a longer-term purchase
contract, material releasing responsibility should shift to _____.
a. marketing
b. purchasing
c. the supplier
d. user groups
e. accounts payable - ✔✔D
, ✔✔77. While similar in concept, blanket purchase orders are typically used more often
for _____ purchases.
a. unique
b. lower-value
c. complex
d. spot buy
e. There are no differences in the types of products or amounts purchased in either
method. - ✔✔B
✔✔78. Which of the following is not an advantage of online ordering systems?
a. Immediate visibility to back-ordered items.
b. Longer order cycle time from input to delivery.
c. Faster order input time.
d. Reduced ordering errors.
e. Ability to batch multiple items from multiple users on a single order. - ✔✔B
✔✔79. [A/An] _____ involves a communications standard that supports inter-
organizational electronic exchange of common business documents and information.
a. electronic catalog
b. cloud-based ordering system
c. Procure-to-pay
d. electronic data interchange
e. blanket purchase order - ✔✔D
✔✔CHAP4
41. _____ involves professionally managing suppliers and developing close working
relationships with different internal groups.
a. Purposeful cooperation
b. Program management
c. Credible commitment
d. Supply integration
e. Relationship management - ✔✔D
✔✔42. _____ is the process of incorporating or bringing together different groups,
functions, or organizations, either formally or informally, physically or by information
technology, to work jointly and often concurrently on a common business-related
assignment or purpose.
a. Cooptation
b. Program management
c. Collaboration
d. Collusion
e. Integration - ✔✔E
✔✔43. Which of the following are not considered relationship management skills?
a. Ability to conduct detailed price and cost analyses
