Question 1

Which of the following is Falseregarding the acceptance and rejection of goods?

Accepted Answer

A)  Once the purchaser accepts the goods, there is only one recourse - to make a claim against the supplier. 
B)  The purchaser has the right to send the rejected goods back even if the supplier does not consent to this action. 
C)  The UCC specifies that the purchaser does not have the legal right to withhold payment from the supplier once acceptance has been made. 
D)  Purchasers have a legitimate right to inspect contracted goods before accepting or rejecting them. 
E)  A purchaser may revoke a prior acceptance if a problem is discovered that substantially impairs the value of the goods. 
A)  Once the purchaser accepts the goods, there is only one recourse - to make a claim against the supplier. 
B)  The purchaser has the right to send the rejected goods back even if the supplier does not consent to this action. 
C)  The UCC specifies that the purchaser does not have the legal right to withhold payment from the supplier once acceptance has been made. 
D)  Purchasers have a legitimate right to inspect contracted goods before accepting or rejecting them. 
E)  A purchaser may revoke a prior acceptance if a problem is discovered that substantially impairs the value of the goods. B

Question 2

Price fixing, dividing territories among competitors, and agreements that limit the supply of a commodity are violations of the Foreign Corrupt Practices Act.

Accepted Answer

A) True 
 B)False  False

Question 3

If the terms of the buyer's purchase order and the supplier's acceptance or acknowledgement conflict, all of the terms of both the purchase order and the acceptance become part of the resulting contract including the conflicting terms and conditions.

Accepted Answer

A) True 
 B)False  False

Question 4

A/An _____ is a set of promises between two or more parties the performance of which the law expects, the breach of which the law provides remedies.

Accepted Answer

A)  offer 
B)  agreement 
C)  acceptance 
D)  contract 
E)  breach 
A)  offer 
B)  agreement 
C)  acceptance 
D)  contract 
E)  breach

Question 5

On _____, the freight bill is presented on the effective day of delivery.

Accepted Answer

A)  prepaid shipments 
B)  FOB origin shipments 
C)  FOB destination shipments 
D)  collect shipments 
E)  all shipments, regardless of terms 
A)  prepaid shipments 
B)  FOB origin shipments 
C)  FOB destination shipments 
D)  collect shipments 
E)  all shipments, regardless of terms

Question 6

Purchasing managers cannot be held personally liable for their damaging and illegal activities even if they perform them with the authority of their firm.

Accepted Answer

A) True 
 B)False

Question 7

Copyright law requires a formal application, as does patent law.

Accepted Answer

A) True 
 B)False

Question 8

_____ is money the plaintiff was hoping to gain from the contract.

Accepted Answer

A)  Reliance 
B)  Restitution 
C)  restitution 
D)  Expectancy 
E)  None of the above. 
A)  Reliance 
B)  Restitution 
C)  restitution 
D)  Expectancy 
E)  None of the above.

Question 9

The _____ is typically considered a _____ for the buying firm.

Accepted Answer

A)  purchasing manager/buyer…..general agent 
B)  sales representative…..general agent 
C)  purchasing manager/buyer…..special agent 
D)  All of the above. 
E)  None of the above. 
A)  purchasing manager/buyer…..general agent 
B)  sales representative…..general agent 
C)  purchasing manager/buyer…..special agent 
D)  All of the above. 
E)  None of the above.

Question 10

_____ is money the plaintiff actually paid to the defendant in connection with the contract.

Accepted Answer

A)  Reliance 
B)  Restitution 
C)  Expectancy 
D)  Due diligence 
E)  None of the above. 
A)  Reliance 
B)  Restitution 
C)  Expectancy 
D)  Due diligence 
E)  None of the above.

Question 11

[A/An] _____ is any misrepresentation by a buyer that falls just short of actual fraud.

Accepted Answer

A)  Ethics 
B)  sharp practice 
C)  Bribery 
D)  conflict of interest 
E)  None of the above. 
A)  Ethics 
B)  sharp practice 
C)  Bribery 
D)  conflict of interest 
E)  None of the above.

Question 12

_____ is the idea that organizations and institutions have an obligation to society that extends beyond compliance with regulations in considering the broader effects of their actions.

Accepted Answer

A)  Ethics 
B)  Influence 
C)  Corporate social responsibility 
D)  Mutual assent 
E)  Warranty of infringement 
A)  Ethics 
B)  Influence 
C)  Corporate social responsibility 
D)  Mutual assent 
E)  Warranty of infringement

Question 13

When the goods delivered by the supplier are actually rejected by the purchaser because of nonconformance, the purchaser must provide notice to the supplier within 24 hours.

Accepted Answer

A) True 
 B)False

Question 14

The UCC allows the purchaser to only reject the entire shipment for cause.

Accepted Answer

A) True 
 B)False

Question 15

Betty goes into Mimi's Wholesale Video Store and says to Mimi, "I want to buy 500 DVDs of the Last Vegas movie from you. I will pay you $10 for each DVD." This is an example of [a/an] _____.

Accepted Answer

A)  acceptance 
B)  breach 
C)  offer 
D)  due diligence 
E)  conditional offer 
A)  acceptance 
B)  breach 
C)  offer 
D)  due diligence 
E)  conditional offer

Question 16

A firm should not encourage suppliers to report instances of unethical behavior by anyone within the buying firm.

Accepted Answer

A) True 
 B)False

Question 17

_____ involves giving preferential treatment to suppliers that are also customers of the buying organization.

Accepted Answer

A)  Personal buying 
B)  Reciprocity 
C)  Sharp practices 
D)  Accepting supplier favors 
E)  Conflicts of interest 
A)  Personal buying 
B)  Reciprocity 
C)  Sharp practices 
D)  Accepting supplier favors 
E)  Conflicts of interest

Question 18

_____ essentially describe who is responsible for the selection of a carrier, payment of the freight bill, and the method in which the title of goods passes between the purchaser and the supplier.

Accepted Answer

A)  Freight bills 
B)  Bills of lading 
C)  Prepaid shipments 
D)  Collect shipments 
E)  Delivery terms 
A)  Freight bills 
B)  Bills of lading 
C)  Prepaid shipments 
D)  Collect shipments 
E)  Delivery terms

Question 19

Rather than change existing contract law, in 1999 the _____ adapted existing "paper and pencil" concepts to the electronic age, meaning that it makes electronic records equivalent to written documents and electronic signatures similar to handwritten signatures for legal purposes.

Accepted Answer

A)  UCC 
B)  Supreme Court 
C)  HSPD-12 
D)  RFI 
E)  UETA 
A)  UCC 
B)  Supreme Court 
C)  HSPD-12 
D)  RFI 
E)  UETA

Question 20

A/An _____ provision stipulates the mechanism to be used in determining any costs and damages to the injured party in the event of a breach of contract.

Accepted Answer

A)  mutual assent 
B)  restitution 
C)  liquidated damages 
D)  reliance 
E)  expectancy 
A)  mutual assent 
B)  restitution 
C)  liquidated damages 
D)  reliance 
E)  expectancy

Which of the following is Falseregarding the acceptance and rejection of goods?

Price fixing, dividing territories among competitors, and agreements that limit the supply of a commodity are violations of the Foreign Corrupt Practices Act.

If the terms of the buyer's purchase order and the supplier's acceptance or acknowledgement conflict, all of the terms of both the purchase order and the acceptance become part of the resulting contract including the conflicting terms and conditions.

A/An _____ is a set of promises between two or more parties the performance of which the law expects, the breach of which the law provides remedies.

On _____, the freight bill is presented on the effective day of delivery.

Purchasing managers cannot be held personally liable for their damaging and illegal activities even if they perform them with the authority of their firm.

Copyright law requires a formal application, as does patent law.

_____ is money the plaintiff was hoping to gain from the contract.

The _ is typically considered a _ for the buying firm.

_____ is money the plaintiff actually paid to the defendant in connection with the contract.

[A/An] _____ is any misrepresentation by a buyer that falls just short of actual fraud.

_____ is the idea that organizations and institutions have an obligation to society that extends beyond compliance with regulations in considering the broader effects of their actions.

When the goods delivered by the supplier are actually rejected by the purchaser because of nonconformance, the purchaser must provide notice to the supplier within 24 hours.

The UCC allows the purchaser to only reject the entire shipment for cause.

Betty goes into Mimi's Wholesale Video Store and says to Mimi, "I want to buy 500 DVDs of the Last Vegas movie from you. I will pay you $10 for each DVD." This is an example of [a/an] _____.

A firm should not encourage suppliers to report instances of unethical behavior by anyone within the buying firm.

_____ involves giving preferential treatment to suppliers that are also customers of the buying organization.

_____ essentially describe who is responsible for the selection of a carrier, payment of the freight bill, and the method in which the title of goods passes between the purchaser and the supplier.

Rather than change existing contract law, in 1999 the _____ adapted existing "paper and pencil" concepts to the electronic age, meaning that it makes electronic records equivalent to written documents and electronic signatures similar to handwritten signatures for legal purposes.

A/An _____ provision stipulates the mechanism to be used in determining any costs and damages to the injured party in the event of a breach of contract.

Introduction to Purchasing and Supply Chain Management

The Purchasing Process

Purchasing Policy and Procedures

Supply Management Integration for Competitive Advantage

Purchasing and Supply Management Organization

Category Strategy Development

Supplier Evaluation and Selection

Supplier Quality Management

Supplier Management and Development: Creating a World-Class Supply Base

Worldwide Sourcing

Strategic Cost Management

Purchasing and Supply Chain Analysis: Tools and Techniques

Negotiation and Conflict Management

Contract Management

Lean Supply Chain Management

Purchasing Services

Supply Chain Information Systems and Electronic Sourcing

Performance Measurement and Evaluation

Purchasing and Supply Strategy Trends

Filters

Exam 15: Purchasing Law and Ethics

Which of the following is Falseregarding the acceptance and rejection of goods?

Price fixing, dividing territories among competitors, and agreements that limit the supply of a commodity are violations of the Foreign Corrupt Practices Act.

If the terms of the buyer's purchase order and the supplier's acceptance or acknowledgement conflict, all of the terms of both the purchase order and the acceptance become part of the resulting contract including the conflicting terms and conditions.

A/An _____ is a set of promises between two or more parties the performance of which the law expects, the breach of which the law provides remedies.

On _____, the freight bill is presented on the effective day of delivery.

Purchasing managers cannot be held personally liable for their damaging and illegal activities even if they perform them with the authority of their firm.

Copyright law requires a formal application, as does patent law.

_____ is money the plaintiff was hoping to gain from the contract.

The _____ is typically considered a _____ for the buying firm.

_____ is money the plaintiff actually paid to the defendant in connection with the contract.

[A/An] _____ is any misrepresentation by a buyer that falls just short of actual fraud.

_____ is the idea that organizations and institutions have an obligation to society that extends beyond compliance with regulations in considering the broader effects of their actions.

When the goods delivered by the supplier are actually rejected by the purchaser because of nonconformance, the purchaser must provide notice to the supplier within 24 hours.

The UCC allows the purchaser to only reject the entire shipment for cause.

Betty goes into Mimi's Wholesale Video Store and says to Mimi, "I want to buy 500 DVDs of the Last Vegas movie from you. I will pay you $10 for each DVD." This is an example of [a/an] _____.

A firm should not encourage suppliers to report instances of unethical behavior by anyone within the buying firm.

_____ involves giving preferential treatment to suppliers that are also customers of the buying organization.

_____ essentially describe who is responsible for the selection of a carrier, payment of the freight bill, and the method in which the title of goods passes between the purchaser and the supplier.

Rather than change existing contract law, in 1999 the _____ adapted existing "paper and pencil" concepts to the electronic age, meaning that it makes electronic records equivalent to written documents and electronic signatures similar to handwritten signatures for legal purposes.

A/An _____ provision stipulates the mechanism to be used in determining any costs and damages to the injured party in the event of a breach of contract.

Introduction to Purchasing and Supply Chain Management

The Purchasing Process

Purchasing Policy and Procedures

Supply Management Integration for Competitive Advantage

Purchasing and Supply Management Organization

Category Strategy Development

Supplier Evaluation and Selection

Supplier Quality Management

Supplier Management and Development: Creating a World-Class Supply Base

Worldwide Sourcing

Strategic Cost Management

Purchasing and Supply Chain Analysis: Tools and Techniques

Negotiation and Conflict Management

Contract Management

Lean Supply Chain Management

Purchasing Services

Supply Chain Information Systems and Electronic Sourcing

Performance Measurement and Evaluation

Purchasing and Supply Strategy Trends

Filters

The _ is typically considered a _ for the buying firm.