NAPCP - CPCP Certification, CPCP
Exam questions and answers
CPCP - correct answer ✔✔ Certified Purchasing Card Professional
PCPCC - correct answer ✔✔ Purchasing Card Professional Certification Council
grants CPCP designation
NAPCP - correct answer ✔✔ National Association of Purchasing Card Professional
grants CPCP designation in conjunction with PCPCC
Have exclusive and sole property of CPCP credential initials
CPCP Code of Ethics - correct answer ✔✔ 1. Maintain integrity of the CPCP exam
2. Comply with the law in all activities related to P-Card Program, Influence workplace practices,
& Report illegal behavior
3. Maintain ethical leadership by demonstrating promoting highest standards of honesty,
confidentiality, and integrity. Question practices & procedures when necessary
4. Build trust by avoiding conflicts of interest, unethical relationships, improper actions and/or
indiscreet communications
5. Manage confidential and Proprietary information with due care and proper consideration for
ethical, legal, and regulatory ramifications
,6. Understand and Respect policies and regulations pf my employer and the card provider
organization
7. Develop and Maintain a professional level of competence and credibility through continuing
ed. and professional certification through the CPCP program
8. Act as a mentor by contributing to the body of knowledge and growth of the Purchasing Card
profession
What would best prevent fraud in a P-Card Program - correct answer ✔✔ Establishing a system
of checks and balances
What is the best first step in the development of a P-Card program? - correct answer ✔✔
Creating a business case
What is the main objective of the P-Card RFP process? - correct answer ✔✔ To select a provider
objectively
The primary goal of a P-card program is to? - correct answer ✔✔ Streamline the process for
acquiring low-cost goods
Reducing or eliminating cash funds through P-Card use results in? - correct answer ✔✔ A
greater capture of transaction data
What is a best practice concerning MCC restrictions? - correct answer ✔✔ Utilize some standard
profiles based on card usage
The primary customers of merchant acquirers are? - correct answer ✔✔ Suppliers of goods and
services
,Who is a merchant acquirer? - correct answer ✔✔ A bank or other contracted party that
processes supplier card transactions.
Enroll suppliers in the card acceptance process and implement equipment and software
solutions related to this purpose. They facilitate payment flow, including payments to suppliers.
They are the supplier's bank
What is another name for merchant? - correct answer ✔✔ Supplier
What is a merchant discount fee? - correct answer ✔✔ A fee paid by a supplier (merchant) to a
bank or other contracted party for services relate to the processing of the merchant's card
transactions
What are the two types of card payment systems? - correct answer ✔✔ Four-Party Payment
System and Three-Party Payment System
What is a four-party payment system? - correct answer ✔✔ merchant discount fee includes
interchange-a fee paid by a merchant acquirer to the issuing bank(card issuer), plus additional
clearing and settling fees. It compensates the issuer for the time after settlement with the
acquiring bank/merchant and before it recoups the settlement value from the end-user. It is a
source of revenue for the issuers. Ex. Visa and Mastercard
What is a three-party payment system? - correct answer ✔✔ No interchange component but
the merchant still pays a merchant discount fee in conjunction with card acceptance. Ex.
traditional Am. Express Model
What are the steps in the traditional procure-to-pay process? - correct answer ✔✔ 1. Process a
requisition
2. Process a Purchase Order
, 3. Process a Invoice
4. Process a Check for payment
What is the estimated process cost of the traditional process? - correct answer ✔✔ $50 to $200
Are the process cost the same for both low value and high value transactions using a traditional
procure-to-pay process? - correct answer ✔✔ Yes
How do p-cards simplify the procure-to-pay process? - correct answer ✔✔ 1. Streamlines the
process
2. Procure goods and services in a timely manner
3. Reduce transaction costs
4. Track expenses
5. Take advantage of Supplier Discounts
6. Reduce or Redirect Purchasing Staff and/or AP Staff
7. Reduce or Eliminate Petty Cash
How do p-cards benefit suppliers (merchants) - correct answer ✔✔ 1. Cost reductions by
eliminating invoice creation, handling and mailing, depositing payments, and collection
activities
2. Funds deposited electronically
3. Faster receipt of payments and improved cash flow
4. Increased sales
Exam questions and answers
CPCP - correct answer ✔✔ Certified Purchasing Card Professional
PCPCC - correct answer ✔✔ Purchasing Card Professional Certification Council
grants CPCP designation
NAPCP - correct answer ✔✔ National Association of Purchasing Card Professional
grants CPCP designation in conjunction with PCPCC
Have exclusive and sole property of CPCP credential initials
CPCP Code of Ethics - correct answer ✔✔ 1. Maintain integrity of the CPCP exam
2. Comply with the law in all activities related to P-Card Program, Influence workplace practices,
& Report illegal behavior
3. Maintain ethical leadership by demonstrating promoting highest standards of honesty,
confidentiality, and integrity. Question practices & procedures when necessary
4. Build trust by avoiding conflicts of interest, unethical relationships, improper actions and/or
indiscreet communications
5. Manage confidential and Proprietary information with due care and proper consideration for
ethical, legal, and regulatory ramifications
,6. Understand and Respect policies and regulations pf my employer and the card provider
organization
7. Develop and Maintain a professional level of competence and credibility through continuing
ed. and professional certification through the CPCP program
8. Act as a mentor by contributing to the body of knowledge and growth of the Purchasing Card
profession
What would best prevent fraud in a P-Card Program - correct answer ✔✔ Establishing a system
of checks and balances
What is the best first step in the development of a P-Card program? - correct answer ✔✔
Creating a business case
What is the main objective of the P-Card RFP process? - correct answer ✔✔ To select a provider
objectively
The primary goal of a P-card program is to? - correct answer ✔✔ Streamline the process for
acquiring low-cost goods
Reducing or eliminating cash funds through P-Card use results in? - correct answer ✔✔ A
greater capture of transaction data
What is a best practice concerning MCC restrictions? - correct answer ✔✔ Utilize some standard
profiles based on card usage
The primary customers of merchant acquirers are? - correct answer ✔✔ Suppliers of goods and
services
,Who is a merchant acquirer? - correct answer ✔✔ A bank or other contracted party that
processes supplier card transactions.
Enroll suppliers in the card acceptance process and implement equipment and software
solutions related to this purpose. They facilitate payment flow, including payments to suppliers.
They are the supplier's bank
What is another name for merchant? - correct answer ✔✔ Supplier
What is a merchant discount fee? - correct answer ✔✔ A fee paid by a supplier (merchant) to a
bank or other contracted party for services relate to the processing of the merchant's card
transactions
What are the two types of card payment systems? - correct answer ✔✔ Four-Party Payment
System and Three-Party Payment System
What is a four-party payment system? - correct answer ✔✔ merchant discount fee includes
interchange-a fee paid by a merchant acquirer to the issuing bank(card issuer), plus additional
clearing and settling fees. It compensates the issuer for the time after settlement with the
acquiring bank/merchant and before it recoups the settlement value from the end-user. It is a
source of revenue for the issuers. Ex. Visa and Mastercard
What is a three-party payment system? - correct answer ✔✔ No interchange component but
the merchant still pays a merchant discount fee in conjunction with card acceptance. Ex.
traditional Am. Express Model
What are the steps in the traditional procure-to-pay process? - correct answer ✔✔ 1. Process a
requisition
2. Process a Purchase Order
, 3. Process a Invoice
4. Process a Check for payment
What is the estimated process cost of the traditional process? - correct answer ✔✔ $50 to $200
Are the process cost the same for both low value and high value transactions using a traditional
procure-to-pay process? - correct answer ✔✔ Yes
How do p-cards simplify the procure-to-pay process? - correct answer ✔✔ 1. Streamlines the
process
2. Procure goods and services in a timely manner
3. Reduce transaction costs
4. Track expenses
5. Take advantage of Supplier Discounts
6. Reduce or Redirect Purchasing Staff and/or AP Staff
7. Reduce or Eliminate Petty Cash
How do p-cards benefit suppliers (merchants) - correct answer ✔✔ 1. Cost reductions by
eliminating invoice creation, handling and mailing, depositing payments, and collection
activities
2. Funds deposited electronically
3. Faster receipt of payments and improved cash flow
4. Increased sales
