Question 1

Three types of cost-reimbursable contracts include cost plus incentive fee, cost plus fixed fee, and _____.

Accepted Answer

cost plus percentage

Question 2

Which is true of lump-sum contracts?

Accepted Answer

A)  They incur a high degree of risk for the buyer. 
B)  They involve a fixed total price for a well-defined product or service. 
C)  They consist of a fee based on the satisfaction of subjective performance criteria. 
D)  They are also known as cost-reimbursable contracts. 
A)  They incur a high degree of risk for the buyer. 
B)  They involve a fixed total price for a well-defined product or service. 
C)  They consist of a fee based on the satisfaction of subjective performance criteria. 
D)  They are also known as cost-reimbursable contracts.

Question 3

All contracts should include specific clauses that take into account issues unique to the project.

Accepted Answer

A) True 
 B)False

Question 4

Outsourcing to provide extra workers during periods of peak workloads can be much more economical than trying to fill entire projects with internal resources. Which advantages does this characteristic of outsourcing provide organizations?

Accepted Answer

A)  offers control over all aspects of projects that suppliers carry out 
B)  provides flexibility 
C)  shifts accountability from external suppliers to internal staff 
D)  helps avoid any form of dependency on suppliers 
A)  offers control over all aspects of projects that suppliers carry out 
B)  provides flexibility 
C)  shifts accountability from external suppliers to internal staff 
D)  helps avoid any form of dependency on suppliers

Question 5

The cost at which the contractor assumes total responsibility for each additional dollar of contract cost is known as a(n) _____.

Accepted Answer

point of total assum

Question 6

An FP-EPA contract carries the least risk for a supplier.

Accepted Answer

A) True 
 B)False

Question 7

What is the first step in project procurement management?

Accepted Answer

A)  closing procurement management. 
B)  controlling procurements. 
C)  conducting procurements. 
D)  planning procurement management. 
A)  closing procurement management. 
B)  controlling procurements. 
C)  conducting procurements. 
D)  planning procurement management.

Question 8

A(n) _____ type of e-procurement that identifies new suppliers for a specific category of purchasing requirements using Internet technology.

Accepted Answer

The answer of  A(n) _____ type of e-procurement that identifies...

Question 9

The process of source selection involves evaluating proposals from sellers, choosing the best one, negotiating, and awarding the _____.

Accepted Answer

The answer of  The process of source selection involves evaluating...

Question 10

A(n) _____ contract carries the least risk for suppliers.

Accepted Answer

A)  CPPC 
B)  FFP 
C)  CPAF 
D)  FP-EPA 
A)  CPPC 
B)  FFP 
C)  CPAF 
D)  FP-EPA

Question 11

A(n) _____ is a document prepared by a seller when there are different approaches for meeting buyer needs.

Accepted Answer

The answer of  A(n) _____ is a document prepared by...

Question 12

Indirect costs are those costs can be traced back to a project in a cost-effective way.

Accepted Answer

A) True 
 B)False

Question 13

A(n) _____ is a mutually binding agreement that obligates the seller to provide the specified products or services and obligates the buyer to pay for them.

Accepted Answer

The answer of  A(n) _____ is a mutually binding agreement...

Question 14

From the buyer's perspective, the _____ is the least desirable among all contracts because the supplier has no incentive to decrease costs.

Accepted Answer

A)  CPIF 
B)  CPFF 
C)  CPAF 
D)  CPPC 
A)  CPIF 
B)  CPFF 
C)  CPAF 
D)  CPPC

Question 15

While outsourcing, organizations should protect strategic information because it can become vulnerable in the hands of suppliers.

Accepted Answer

A) True 
 B)False

Question 16

After planning for procurement management, the next process involves ____.

Accepted Answer

A)  determining the evaluation criteria for the contract award 
B)  developing procurement statements of work 
C)  using expert judgement in planning
Purchases and acquisitions 
D)  sending appropriate documentation to potential sellers 
A)  determining the evaluation criteria for the contract award 
B)  developing procurement statements of work 
C)  using expert judgement in planning
Purchases and acquisitions 
D)  sending appropriate documentation to potential sellers

Question 17

Make-or-buy analysis involves comparing the internal costs of providing a product with the cost of outsourcing.

Accepted Answer

A) True 
 B)False

Question 18

Most organizations are not in business to provide information technology services, yet many have spent valuable time and resources on information technology functions when they should have instead worked on important competencies such as marketing, customer service, and new product design. Outsourcing helps tackle this problem. Which benefit does outsourcing primarily provide in such a scenario?

Accepted Answer

A)  reduces fixed and recurrent costs 
B)  protects strategic information from being accessible to external suppliers 
C)  increases accountability even without a written contract 
D)  helps focus on an organization's core business 
A)  reduces fixed and recurrent costs 
B)  protects strategic information from being accessible to external suppliers 
C)  increases accountability even without a written contract 
D)  helps focus on an organization's core business

Question 19

List and briefly describe the main processes of project procurement management.

Accepted Answer

The four main processes of project procu

Question 20

In project procurement management, which is an output of the conducting procurements process?

Accepted Answer

A)  make-or-buy decisions 
B)  statements of work 
C)  source selection criteria 
D)  change requests 
A)  make-or-buy decisions 
B)  statements of work 
C)  source selection criteria 
D)  change requests

Three types of cost-reimbursable contracts include cost plus incentive fee, cost plus fixed fee, and _____.

Which is true of lump-sum contracts?

All contracts should include specific clauses that take into account issues unique to the project.

Outsourcing to provide extra workers during periods of peak workloads can be much more economical than trying to fill entire projects with internal resources. Which advantages does this characteristic of outsourcing provide organizations?

The cost at which the contractor assumes total responsibility for each additional dollar of contract cost is known as a(n) _____.

An FP-EPA contract carries the least risk for a supplier.

What is the first step in project procurement management?

A(n) _____ type of e-procurement that identifies new suppliers for a specific category of purchasing requirements using Internet technology.

The process of source selection involves evaluating proposals from sellers, choosing the best one, negotiating, and awarding the _____.

A(n) _____ contract carries the least risk for suppliers.

A(n) _____ is a document prepared by a seller when there are different approaches for meeting buyer needs.

Indirect costs are those costs can be traced back to a project in a cost-effective way.

A(n) _____ is a mutually binding agreement that obligates the seller to provide the specified products or services and obligates the buyer to pay for them.

From the buyer's perspective, the _____ is the least desirable among all contracts because the supplier has no incentive to decrease costs.

While outsourcing, organizations should protect strategic information because it can become vulnerable in the hands of suppliers.

After planning for procurement management, the next process involves ____.

Make-or-buy analysis involves comparing the internal costs of providing a product with the cost of outsourcing.

List and briefly describe the main processes of project procurement management.

In project procurement management, which is an output of the conducting procurements process?

Introduction to Project Management

The Project Management Information Technology Context

The Project Management Process Groups

Project Integration Management

Project Scope Management

Project Schedule Management

Project Cost Management

Project Quality Management

Project Resource Management

Project Communications Management

Project Risk Management

Project Stakeholder Management

Filters

Exam 12: Project Procurement Management

Three types of cost-reimbursable contracts include cost plus incentive fee, cost plus fixed fee, and _____.

Which is true of lump-sum contracts?

All contracts should include specific clauses that take into account issues unique to the project.

Outsourcing to provide extra workers during periods of peak workloads can be much more economical than trying to fill entire projects with internal resources. Which advantages does this characteristic of outsourcing provide organizations?

The cost at which the contractor assumes total responsibility for each additional dollar of contract cost is known as a(n) _____.

An FP-EPA contract carries the least risk for a supplier.

What is the first step in project procurement management?

A(n) _____ type of e-procurement that identifies new suppliers for a specific category of purchasing requirements using Internet technology.

The process of source selection involves evaluating proposals from sellers, choosing the best one, negotiating, and awarding the _____.

A(n) _____ contract carries the least risk for suppliers.

A(n) _____ is a document prepared by a seller when there are different approaches for meeting buyer needs.

Indirect costs are those costs can be traced back to a project in a cost-effective way.

A(n) _____ is a mutually binding agreement that obligates the seller to provide the specified products or services and obligates the buyer to pay for them.

From the buyer's perspective, the _____ is the least desirable among all contracts because the supplier has no incentive to decrease costs.

While outsourcing, organizations should protect strategic information because it can become vulnerable in the hands of suppliers.

After planning for procurement management, the next process involves ____.

Make-or-buy analysis involves comparing the internal costs of providing a product with the cost of outsourcing.

List and briefly describe the main processes of project procurement management.

In project procurement management, which is an output of the conducting procurements process?

Introduction to Project Management

The Project Management Information Technology Context

The Project Management Process Groups

Project Integration Management

Project Scope Management

Project Schedule Management

Project Cost Management

Project Quality Management

Project Resource Management

Project Communications Management

Project Risk Management

Project Stakeholder Management

Filters