Download the L4M3 Dumps (V9.02) to Learn the Practice Questions: Check the Quality by Testing the L4M3 Free Dumps (Part 1, Q1-Q40)

1. Consequences and actions that arise from certain KPI scores must be...? Select TWO that apply.

2. A procurement manager is setting KPIs measurement for user satisfaction. He also wants to encourage users to share the reason why they feel the way they do.

Which of the following types of KPI should the procurement manager apply?

3. Which of the following best defines an ‘express’ term in general contract arrangements?

4. Which of the following is the best definition of consideration in contract law?

5. Express terms in a contract are stated in which of the following? Select TWO that apply

6. In order to monitor supplier’s performance, an organization decides to draft performance management frameworks.

Which of the following are the components of a performance management framework? Select THREE that apply:

7. Under a price adjustment agreement, which of the following would be supplier's justification for increasing unit price?

8. A supermarket purchases a new batch of house cleaner from new supplier. The supermarket is concerned about possible damage that the house cleaner may cause to consumers' floor.

What type of insurance must they cover?

9. Which of the following are among five 'pillars' of information assurance?

1. Recovery plan

2. Availability

3. Non-repudiation

4. Governance

10. Infra Constructions receive a contract for construction of a building, and following terms were agreed upon. "The entire cost of the project will be reimbursed to Infra Constructions (estimated cost of the project being $ 25 million). The profits will be 20% of the entire cost of a project subject to a max of $ 5 million."

This arrangement is an example of...?

11. Which of the following is the procedure that makes no further competition under a framework agreement?

12. Which of the following are NOT covered by CISG? Select TWO that apply:

13. Which of the following is the type of insurance that cover the liabilities of service provider such as legal advice, accountancy, technical designs, etc?

14. Danielle buys a car from Aaron. Not long after, she receives an proposal from Brian, who is interested in buying the car but his budget is very constraint. Then, Brian decides to sign a hire purchase agreement with Danielle which lasts 4 years. Brian lives very far from Danielle, so hehires Charlie to deliver the car to his place. During the transport, Charlie has an accident and the car is written off.

At the time of accident, who has the title of the car?

15. Which of the following is the reason why liquidated damage clauses are embedded into a contract?

16. Which of the following statement is true about insurance?

17. Which of the following should be used in a contract for window cleaning during the next three months?

18. Which of the following KPIs is qualitative?

1. Openness and co-operation of supplier

2. Responsiveness of supplier

3. Customer satisfactory ratings

4. Cost management

5. OTIF deliveries

19. XYZ Ltd and Engineer Corp signed a long-term supply contract in which both parties had agreed on

performance targets. Recently, due to increased customer demands, XYZ Ltd realises that they should make changes to the contract with Engineer Corp with regards to performance management. These changes are approved and signed by both the buyer and seller.

The changes to the contract are known as...?

20. Cleveland Insurance (Cleveland) offers a range of insurance services. The main software used in the call centre is a customer relationship management (CRM) system. Cleveland perceived an urgent need to replace the existing CRM system to deal with the increasing number of customers and services.

Urgent Digital Ltd (Digital) is one of the bidders of Cleveland’s ITT for designing, building and managing the new CRM system. Its bid team is led by Hank Irvine, its technical director. Hank realises that winning the Cleveland contract (valued at approximately £50M) will enhance his career. During discussions with Cleveland, Hank offers certain assurances regarding timescales for the project. He has not carried out any investigations into the viability of the timescales. Hank has little idea whether the timescales can be met.

Cleveland decides that Digital’s bid meets with its requirements, especially given the assurances in timescale offered by Hank, and decides to proceed with it, subject to a formal contract. Eventually, a formal contract is signed by both parties. The initial assurances given by Hank about the timing of the project are never going to be achieved and are at best grossly exaggerated.

Cleveland brought the case to the court and sought rescission of contract with Digital.

Is Cleveland’s claim appropriate in this case?

21. What is the purpose of using key performance indicators in procurement and supply?

22. Company A based in Canada signed a commercial contract with Company B in Egypt. Both countries are Contracting States to Vienna Convention on Contracts for the International Sale of Goods. The contract states that "The validity, interpretation, construction and performance of this Agreement shall be governed by the laws of Canada".

Which of the following set of rules will be applied if dispute between contracting parties occurs?

23. When a contract has been agreed on the basis of a fraudulent misrepresentation, which of the following remedies are available?

24. A construction company is undertaking a housing development project. They need lots of bricks and other building materials, but the construction site doesn't have large area for storage of materials. Therefore, the company's suppliers must deliver the building materials with fixed quantity and at fixed time intervals.

What type of contract is used between the construction company and its suppliers?

25. Which of the following are driving forces for increasing use of social and environmental criteria in specifications? Select TWO that apply.,

26. A service contract is going to be expired, which data source is good to create specifications for ITT?

1. Incumbent supplier

2. Maintenance services

3. Alternative supplier

4. User's knowledge

27. Standard terms and conditions should become the governing terms for which group of items?

28. Which of the following is the best definition of “ultra vires”?

29. Which of the following are always considered as minimum preconditions for a contract? Select TWO that apply:

30. A buyer and a supplier plan to sign a contract with cost-plus arrangement. If the cost base is $350 and the markup component is 11% then the invoice price will be...

31. Which of the following are most likely to be liabilities of suppliers under a guarantee clause? (Select Any Two)

32. Which of the following will be always automatically deemed as a consideration?

33. Which of the following is likely to reduce risks of different rules regarding when offers and acceptance become effective between legal systems?

34. CMS Corp goes into a gainshare agreement with the contractor, EIP Ltd. Both parties agree that the final fee will be calculated on target cost - target fee basis.

Which of the following will affect the final fee payable in this gainshare agreement? Select TWO that apply:

35. XYZ Ltd is negotiating a long-term supply contract of important parts with a supplier. Dave, procurement manager teams up with Alla, legal manager to construct a service level agreement. Dave is concerned that poor performance of supplier may cause damages to the operations of the organisation.

Which of the following can be used in conjunction with SLA to compensate the buying organisation in case of supplier's poor performance?

1. Warranties

2. Force majeure clauses

3. Penalty clauses

4. Service credits

36. Bethy sees a coat on shop window with a $100 price tag. She comes and asks the shop owner to buy it. The owner states that the price has not been updated and the current price for the coat is $120. Bethy says the owner should honour the quoted price on window shop.

Is Bethy correct?

37. Which of the following will be included in a conformance specification?

1. Brand names

2. Description of the operating environments

3. Chemical formulae

4. Required safety level

38. MWB operates serviced offices in central London. Rock entered a contractual licence with MWB to occupy office space in Marble Arch and had accumulated licence fees in arrears. The original licence agreement contained a ‘No Oral Modification’ clause that said: 'All variations to this licence must be agreed, set out in writing and signed on behalf of both parties before they take effect'.

After 6 months, Rock director re-negotiated to extend payment period over phone call and MWB credit controller agreed his proposal. Is this agreement considered as an effective variation to the original licence agreement?

39. An organization has a normal tender process that often last 1 month from defining the needs to contract award. Manufacturing department suddenly required a new special part that they could not foresee within a month.

Which of the following should be the priority actions of procurement manager in this urgent situation? Select TWO that apply:

40. Which of the following is a true statement on express and implied terms?