L4M3 Practice Exam Questions and Answers

To expand its operation, Steel Co. decides to build a new plant. Despite of excitement, the senior management is very concerned about the complexity and risks of such project. Hugo, the procurement manager, suggests that the company can adopt a model form of contract. What is the advantage of using model form of contract?

According to rule of contract formation, which of the following is a valid acceptance?

Which of the following is most likely to reduce ITT preparation time while maintaining the clarity of tendering documents?

Streaming Ltd is a music streaming provider based in the UK. The company is looking for extending its presence in the US. To achieve this, the company needs to outsource the data centre service to a local company. To monitor the performance, the procurement manager would like to introduce a service level agreement (SLA) to the data centre service provider. Which of the following should be included in the SLA?

1. System availability

2. The mean time to recover from system failure

3. The actual number of on-time service delivery

4. Dispute resolution procedure

In a sale contract, a clause requires the seller to "defend, reimburse, and hold harmless" the buyer and its personnel from and against any and all damages arising in connection with some specific circumstances. This clause is an example of...?

Which of the following are most likely to be substantive elements of the specification of a truck? Select TWO that apply:

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

In common law, which of the following documents is legally binding without the need for consideration?

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

A procurement manager is preparing a long-term contract with a major supplier. She decides to use the variable pricing arrangement using price indices. The payment terms describe the circumstances and mechanism where the price is allowed to change. In order to successfully manage this type of contract, the buying organisation should have...?