CIPS L4M5 Exam Info and Free Practice Test TrainingQuiz [Q60-Q76]

NO.60 Which of thefollowing are signs indicating that TOP is using coercive power in commercial negotiation?
Select TWO that apply.

NO.61 In which of the following costing methods, overhead costs are applied in proportion to production volume?

NO.62 Economic growth can be measured by…?

NO.63 Buying organisation may increase its leverage with suppliers by concentrating spend. Which of the following are most likely to be forms of supplier spend consolidation? Select THREE that apply.

NO.64 A procurement professional is sourcing low value items. He conducts market analysis and realise that these items can be provided by many suppliers and switching cost between suppliersis relatively low. He also assume that the relationship between buyer and supplier will be transactional rather than long-term. According to Thomas-Kilmann conflict model instrument, which of the following is the most appropriate style that the procurement professional should adopt when negotiating with these suppliers?

NO.65 If a negotiation results in an offer which does not meet the buyer’s minimum requirements, which of the following could the buyer pursue?

NO.66 Which of the following are signs indicating that the trust between buyer and supplier has improved? Select TWO that apply.

NO.67 Which of the following are most likely to harm trust between buyer and supplier in a commercial relationship?
Select TWO that apply.

NO.68 Which of the following is the most appropriate approach to investors or shareholders who have high level of influence but low interest in the running of business?

NO.69 During a negotiation, a procurement manager suggests that the two companies should split the difference which would benefit both the supplier and buyer. Which persuasion method is she using?

NO.70 Which of the following are macroeconomic factors that may have influence to the commercial negotiation?
Select TWO that apply

NO.71 SBL provides contract bathroom furniture and fittings for a wide variety of domestic and commercial clients.
To some suppliers, SBL spendclaims a large portion of their revenue. But SBL is famous for imposing draconian obligations on these suppliers. Which of the following is most likely to be overarching objective of these suppliers to SBL?

NO.72 In a negotiation for a new contract, the supplier suggests the buyer to shorten payment period from 45 days to
15 days because they are investing in new facilitiesto expand the supply capacity. The buyer replies that she can only sign off the deal if the payment period is 30 days or more since it often takes at least 30 days for her company to collect the payment from customers. A permission from senior managementis required for this suggestion. In order to ensure that supplier understands the matter, she reiterates it throughout the meeting.
Which tactics is she using?
1. Outrageous initial demand
2. Salami slicing
3. Lack of authority
4. Broken record

NO.73 Professional buyer is planning for the next negotiation of a simple one-off contract. This negotiation is typified by which of the following? Select TWO that apply.

NO.74 During a negotiation, the supplier requests for payment term shortened to 45days from 60 days. Seeing that this proposal lies within the concession plan, the procurement manager asks for 5% discount in return. Is that right thing to do?

NO.75 Which of the following are examples ofnon-verbal negotiation? Select THREE that apply.

NO.76 Which of the following is the most appropriate pricing arrangement in contracts where major inputs are commodities?