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L6M5 Practice Questions

Strategic Programme Leadership

Last Update 1 day ago
Total Questions : 83

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Question # 11

Which of the following is an advantage to the contractor in an EPC contract arrangement?

EPC contracts provide several benefits to contractors, such as clear project scope, reduced risks, and better project management.

Answer Options:

Options:

A.  

The scope is clearly defined by the client

B.  

There is an early completion bonus

C.  

There are no subcontractors to manage

D.  

The client assumes all risks for the construction

Discussion 0
Question # 12

Jake is running a tender exercise to find a new supplier for his manufacturing organisation. He is seeking fixed pricing for goods over the next 2 years. Which of the following are advantages of using fixed pricing? Select all that apply.

Options:

A.  

fixed pricing means bidders will provide a lower quote

B.  

fixed pricing makes forecasting easier

C.  

fixed pricing simplifies the bidding process

D.  

fixed pricing means Jake will benefit from decreases in price if the supplier's costs reduce

E.  

fixed pricing is likely to lead to less tensions between the two parties in the long run

Discussion 0
Question # 13

Dave, Head of HR, is introducing the "Person-Organization Fit" model.

Q: What will this help achieve?

Answer Options:

Options:

A.  

Ensuring staff meet their KPIs

B.  

More successful recruitment

C.  

Less discrimination in the workplace

D.  

Better relationships with suppliers

Discussion 0
Question # 14

Fred is comparing two possible projects that will last for different durations.

    His company can only select one project due to financial constraints.

    He needs a method to compare the financial benefits of both projects.

Q: Is a payback analysis a useful tool for Fred to use?

Answer Options:

Options:

A.  

Yes – this will account for the difference in duration of the two projects

B.  

No – this will not account for the difference in duration of the two projects

C.  

Yes – this will provide Fred with a rate of return that is useful to accurately forecast profits

D.  

No – there is no formula to calculate this, and a discount factor must be used

Discussion 0
Question # 15

Casper is conducting a Variance Analysis of the company’s budget. What is its main purpose?

Answer Options:

Options:

A.  

To identify which departments have overspent

B.  

To identify where cost savings can be made

C.  

To minimize inefficiencies

D.  

To analyze whether costs are fixed or variable

Discussion 0
Question # 16

Glitter Kitten Ltd negotiates a contract with Paw Ltd (new supplier).

Q: What pricing mechanism is best for visibility into supplier costs and margins?

Answer Options:

Options:

A.  

Open-Book Costing

B.  

Cost Reimbursable Contract

C.  

Bottom-Up Pricing

D.  

Activity-Based Costing

Discussion 0
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