| 1. | In a standard contract, ________ are bound. 
| A. | Buyer and seller |
| B. | Project manager and sponsor |
| C. | Seller and sponsor |
| D. | Buyer and project manager |
|
| 2. | The seller agrees to furnish products/services, and the buyer agrees to provide ________.
| A. | Time |
| B. | Effort |
| C. | Consideration |
| D. | Facilities |
|
| 3. | For the examination, procurement is discussed using the ________ relationship.
| A. | Technical |
| B. | Buyer/seller |
| C. | Vendor/seller |
| D. | Purchasing |
|
| 4. | In PMBOK, the buyer is ________ to the project team, and the seller is ________ to the project team.
| A. | Assigned, allocated |
| B. | Important, secondary |
| C. | Related, outside |
| D. | Internal, external |
|
| 5. | Market conditions are a part of ________.
| A. | Organizational process assets |
| B. | Project management concerns |
| C. | Enterprise environmental factors |
| D. | General management concerns |
|
| 6. | Formal or informal policies that pertain to procurement are part of the ________.
| A. | Organizational process assets |
| B. | Project management concerns |
| C. | Enterprise environmental factors |
| D. | General management concerns |
|
| 7. | Needed delivery dates and availability of resources can be found in the detail of the ________.
| A. | WBS |
| B. | SOW |
| C. | Project Scope Statement |
| D. | Project Charter |
|
| 8. | A Risk Register is a detailed part of the ________.
| A. | Project Scope Statement |
| B. | Project management plan |
| C. | Project scheduling plan |
| D. | Project Charter |
|
| 9. | When doing make-or-buy analysis, you should make sure that both ________ and ________ costs are included so that the comparisons are equal.
| A. | Tactical, strategic |
| B. | Management, project |
| C. | Delayed, sunk |
| D. | Direct, indirect |
|
| 10. | Technical judgments made to assess inputs and outputs of the planning of purchases and acquisition are an example of using ________.
| A. | Expert judgment |
| B. | External assets |
| C. | Internal assets |
| D. | Computers |
|
| 11. | There are three general types of contracts: cost reimbursable, time and materials, and ______________?
| A. | Cost required |
| B. | Fixed price |
| C. | Simple cost |
| D. | Reimbursed time |
|
| 12. | Which type of contract has the highest risk for the buyer?
| A. | Fixed price |
| B. | Reimbursed time |
| C. | Time and materials |
| D. | Cost plus |
|
| 13. | In the cost plus contract with the initials CPFF, the FF stands for ________.
| A. | Formula foundation |
| B. | Free fixed |
| C. | Founded fixed |
| D. | Fixed fee |
|
| 14. | Which type of contract has the highest risk for the seller?
| A. | Fixed price |
| B. | Reimbursed time |
| C. | Time and materials |
| D. | Cost plus |
|
| 15. | The type of contract where the buyer and seller share in the savings is ________.
| A. | Fixed Price |
| B. | Cost reimbursable with incentive fee |
| C. | Cost reimbursable with fixed fee |
| D. | Time and materials |
|
| 16. | Which type of contract uses a percentage of cost as a part of the agreed upon contract?
|
| 17. | A buyer negotiates a fixed-price incentive contract with the seller. The target cost is $200,000, the target profit is $35,000, and the target price is $250,000. The buyer negotiates a ceiling price of $280,000 and a share ratio of 70/30. If the contract is completed with actual costs of $180,000, how much profit will the buyer pay the seller?
| A. | $49,000 |
| B. | $41,000 |
| C. | $38,000 |
| D. | $29,000 |
|
| 18. | Definition of contract types to be used, how to handle lead times for procurement, and metrics used to manage contracts are all found in the ________.
| A. | SOW |
| B. | Procurement management plan |
| C. | WBS |
| D. | Scope Statement |
|
| 19. | The document that gives detail to prospective sellers concerning item or items to be purchased is the ________.
| A. | SOW |
| B. | Charter |
| C. | WBS |
| D. | CSOW |
|
| 20. | The document that contains information such as identified risks and risk owners is called a ________.
| A. | Risk Register |
| B. | SOW |
| C. | WBS |
| D. | Risk locator |
|
| 21. | The evaluation criteria are determined by the ________.
| A. | Seller |
| B. | Project manager |
| C. | Buyer |
| D. | Sponsor |
|
| 22. | Procurement documents are documents seeking information from the ________.
| A. | Seller |
| B. | Project manager |
| C. | Buyer |
| D. | Accountant |
|
| 23. | Meetings with prospective sellers to ensure that they have a clear understanding of the requirements are known as ________.
| A. | Bidder conferences |
| B. | Vendor conferences |
| C. | Contract conferences |
| D. | All of the above |
|
| 24. | The system that assigns a value to evaluation criteria is known as ________.
| A. | Weighting system |
| B. | Screening system |
| C. | Expert judgment |
| D. | Rating system |
|
| 25. | Risk control, quality control, and performance reporting are all used in ________.
| A. | Project management |
| B. | Contract administration |
| C. | Reports |
| D. | Sponsor communication |
|
| 26. | Contracts are administered by the ________.
| A. | Buyer |
| B. | Seller |
| C. | Sponsor |
| D. | Buyer and seller |
|
| 27. | Contracts can be amended prior to contract closure in accordance with the ________ of the contract.
| A. | Requirements |
| B. | Change control terms |
| C. | Sponsor regulations |
| D. | Organizational requirements |
|
| 28. | The buyer will conduct performance reviews that show differences between the ________ of the project and the actual performance.
| A. | SOW |
| B. | Baseline |
| C. | Charter |
| D. | WBS |
|
| 29. | The ________ will offer performance reports concerning the work done on the project.
| A. | Seller |
| B. | Buyer |
| C. | Sponsor |
| D. | Project manager |
|
| 30. | The ________ will conduct performance reviews that show differences between the baseline of the project and the actual performance.
| A. | Sponsor |
| B. | Project manager |
| C. | Buyer |
| D. | Sponsor |
|
| 31. | ________ and ________ are both a type of buyer performance review.
| A. | Inspections, audits |
| B. | Inspections, tours |
| C. | Questioning, tours |
| D. | Audits, tours |
|
| 32. | The payment system controls payments to the seller and may be controlled by the ________ function of the buyer.
| A. | Accounts receivable |
| B. | Payment processing |
| C. | Accounts payable |
| D. | Check writing |
|
| 33. | ________ involves verification that the work and deliverables of the project are acceptable.
| A. | Contract closure |
| B. | Administrative closure |
| C. | Project schedule closure |
| D. | Management plan closure |
|
| 34. | Contract closure usually involves ________ notice that the contract has been completed.
| A. | Legal |
| B. | Management |
| C. | Formal written |
| D. | Oral |
|
| 35. | Early termination of a contract is a unique type of ________.
| A. | Legal requirement |
| B. | Contract closure |
| C. | Contract fulfillment |
| D. | Contract management |
|
| 36. | A ________ is done to review all procurement processes done during the project.
| A. | Project plan review |
| B. | Project management review |
| C. | Project performance review |
| D. | Procurement review |
|
