Free CIPS L3M4 Exam Questions

Question 1

An office manager buys some wallpaper based on samples, only to find the batch of paper delivered is of a slightly different colour than the sample provided. Is this an implied term covered under sale by description?

A : No, it is sale by sample. The bulk does not correspond with the sample

B : Yes, it is sale by description. The wallpaper is not the correct colour

C : No, it is not of satisfactory quality. The wallpaper is not fit for purpose intended

D : Yes, it is sale by description. The wallpaper does not conform to the description

Answer: A

Question 2

You are a procurement manager for a successful electrical component re-seller and distributor. The company presently carries stock of over fifty thousand different items, some of which may be variances of the same product, or similar products from different manufacturers. The managing director of the business is looking to increase the margin on products sold and has asked for your support. It is a competitive industry with a customer base that will be resistant to a price increase. Which of the following could support this request?

A : Standardize the products purchased

B : Improve the quality of products purchased

C : Reduce the range of products purchased

D : Increase the range of products sold

Answer: C

Question 3

While it is recognised that longer-term contracts have the potential to drive significant benefits for the organisation, a number of situations are more suited to making one-off purchases. Which of the below situations is likely to be more suited to a one-off purchase?

A : The ordering of equipment for a special project

B : A requirement for the maintenance of buildings

C : The purchase of compatible IT infrastructure equipment

D : The purchase of internal and external audit services

Answer: A

Question 4

Prior to circulating the service specification to a tendering supplier, it is good practice for the purchasing organisation to request completion of a non-disclosure agreement. Is this statement correct?

A : No, because the non-disclosure agreement only applies after contracting

B : Yes, because the non-disclosure agreement protects intellectual property

C : Yes, because the non-disclosure agreement encourages transparent bidding

D : No, because the non-disclosure agreement has no legal standing

Answer: B

Question 5

While it is recognised that longer-term contracts have the potential to drive significant benefits for the organisation, a number of situations are more suited to making one-off purchases. Which of the below situations is likely to be more suited to a one-off purchase?

A : The ordering of equipment for a special project

B : A requirement for the maintenance of buildings

C : The purchase of compatible IT infrastructure equipment

D : The purchase of internal and external audit services

Answer: A