Procurement Management Quiz
QUESTIONS AND VERIFIED CORRECT
ANSWERS GRADED A+ LATEST 100%
GUARANTEED PASS
When conducting procurement management for a project, what is one of the first things a
project manager should research before awarding the contract?
A) Laws and regulations of the country
B) The sponsor requirements
C) What terms and conditions to put in the contract
D) What payment terms to put in the contract - CORRECT ANSWER-A) Laws and regulations of
the country
One of the first things to know before setting up a contract between a buyer and seller is the
local laws and regulations of that country and how it may affect the contract. Laws and
regulations can affect what can and cannot be in a contract.
The project manager has negotiated a fixed-price contract with a steel supplier. The contract is
for 4 years. The seller has requested that the cost be increased by 4% every year due to inflation
and fuel costs. What type of contract should the project manager use?
A) Firm fixed price
B) Fixed-price incentive fee
C) Fixed-price economic price adjustment
D) Cost plus fixed fee - CORRECT ANSWER-C) Fixed-price economic price adjustment
, A fixed-price economic price adjustment contract is used to adjust the fixed costs over the life of
the contract due to economic conditions such as inflation.
The project manager and the team have come up with a few different criteria they will use
when selecting a seller. The criteria include costs, qualifications, licenses, and financial stability
of the seller. What best describes these criteria?
A) Procurement documents
B) Agreements
C) Request for proposal
D) Source selection criteria - CORRECT ANSWER-D) Source selection criteria
Source selection criteria are used to evaluate the sellers and can include things such as costs,
delivery dates, experience, financial stability, and management experience.
While working on the office renovation project, the project manager has received multiple bids
from different vendors. What the project manager thought would be a cost-effective contract
turned out to be very expensive. The project manager then hires a professional estimator to
determine what the contract should cost. What is the project manager looking for?
A) Outside estimate
B) Building cost estimate
C) Independent cost estimate
D) PMO - CORRECT ANSWER-C) Independent cost estimate
An independent cost estimate is generally made by hiring an outside professional estimator to
provide a benchmark to determine whether the bids from a seller are adequate for the project.
QUESTIONS AND VERIFIED CORRECT
ANSWERS GRADED A+ LATEST 100%
GUARANTEED PASS
When conducting procurement management for a project, what is one of the first things a
project manager should research before awarding the contract?
A) Laws and regulations of the country
B) The sponsor requirements
C) What terms and conditions to put in the contract
D) What payment terms to put in the contract - CORRECT ANSWER-A) Laws and regulations of
the country
One of the first things to know before setting up a contract between a buyer and seller is the
local laws and regulations of that country and how it may affect the contract. Laws and
regulations can affect what can and cannot be in a contract.
The project manager has negotiated a fixed-price contract with a steel supplier. The contract is
for 4 years. The seller has requested that the cost be increased by 4% every year due to inflation
and fuel costs. What type of contract should the project manager use?
A) Firm fixed price
B) Fixed-price incentive fee
C) Fixed-price economic price adjustment
D) Cost plus fixed fee - CORRECT ANSWER-C) Fixed-price economic price adjustment
, A fixed-price economic price adjustment contract is used to adjust the fixed costs over the life of
the contract due to economic conditions such as inflation.
The project manager and the team have come up with a few different criteria they will use
when selecting a seller. The criteria include costs, qualifications, licenses, and financial stability
of the seller. What best describes these criteria?
A) Procurement documents
B) Agreements
C) Request for proposal
D) Source selection criteria - CORRECT ANSWER-D) Source selection criteria
Source selection criteria are used to evaluate the sellers and can include things such as costs,
delivery dates, experience, financial stability, and management experience.
While working on the office renovation project, the project manager has received multiple bids
from different vendors. What the project manager thought would be a cost-effective contract
turned out to be very expensive. The project manager then hires a professional estimator to
determine what the contract should cost. What is the project manager looking for?
A) Outside estimate
B) Building cost estimate
C) Independent cost estimate
D) PMO - CORRECT ANSWER-C) Independent cost estimate
An independent cost estimate is generally made by hiring an outside professional estimator to
provide a benchmark to determine whether the bids from a seller are adequate for the project.
