L4M4 Practice Questions

A.  

no- buyers can approach known contractors

B.  

no- buyers in the public sector do not source strategic items

C.  

yes- the public sector should advertise the opportunity as a call for competition

D.  

yes- the public sector should advertise through the Freedom of Information Act

A.  

It is the only approach that supports the open tendering process

B.  

It is the only approach that enables the buyer to isolate the best supplier from among many

C.  

It helps the buyer to increase stock varieties to avoid stock-outs

D.  

It increases process flexibility and switching using a range of approved suppliers

A.  

Help the organisation set its marketing strategy

B.  

Highlight opportunities for negotiating better prices and reducing costs with suppliers

C.  

Provide information on costs and trends to compare with previous time periods

D.  

Provide analysis to help with planning production schedules

E.  

Identify how obsolete stock items can be disposed of in a sustainable way

A.  

yes- ethics and sustainability form part of 'value for money'

B.  

yes- ethics and sustainability show that the products are fit for purpose

C.  

no- 'value for money' is concerned with achieving the lowest price

D.  

no- 'value for money' only concerns price and if the product is fit for purpose

A.  

Unscheduled audits significantly reduce costs compared to scheduled visits

B.  

Unscheduled audits help to achieve an unbiased assessment

C.  

Unscheduled audits help to identify non-compliance issues

D.  

Unscheduled audits increase the risk of providing misinformation

E.  

Unscheduled audits are more time-efficient than scheduled audits

A.  

Immediately raise the issue with the supplier and jointly develop a timely action plan to be implemented before a repeat audit

B.  

Immediately halt all orders with the supplier, make a record of the violation in the supplier database, and switch to an alternative source of supply

C.  

Remove all business and inform press organisations, who will in turn bring the issue to the attention of formal governmental organisations who can take action

D.  

Allow the supplier to complete current orders placed, while pursuing an alternative source to change to as soon as approved

A.  

Loss of informal relationship with cyber experts

B.  

Loss of influence over prioritisation of tasks

C.  

Loss of financial resources due to regulation

D.  

Loss of expertise within business

A.  

The buyer must ensure continuity of supply because financial problems of a supplier could affect the supply

B.  

Financial assessments provide a holistic view of a company's capability, including quality and delivery performance

C.  

A supplier who is highly profitable will be charging prices higher than the average market rate

D.  

If a supplier has a high credit score, this means it pays its own suppliers late, which could result in stock outs

A.  

inventory

B.  

reserves

C.  

receivables

D.  

profit

A.  

Yes, only used when exporting goods from Europe

B.  

Yes, a widely used import document confirming origin

C.  

No, it allows temporary free movement of goods

D.  

No, it is a type of insurance cover