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When procuring an IT equipment, at which stage the buyer’s expectations are translated into a technical specification?
When procuring an IT equipment, at which stage the buyer’s expectations are translated into a technical specification?A . InstallationB . DesignC . In-service supportD . Customer supportView AnswerAnswer: B Explanation: IT equipment is typically linked with through-life contracts. This type of contract not only deal with the specification and the...
How many products does the company have to sell to achieve break-even point?
Company A sells a product for $100. The total unit variable costs are $60. Fixed costs as in its ac-count are $20,000. How many products does the company have to sell to achieve break-even point?A . 600B . 550C . 400D . 500View AnswerAnswer: D Explanation: Break even point =...
How many products does the company have to sell to achieve break-even point?
Company A sells a product for $100. The total unit variable costs are $60. Fixed costs as in its ac-count are $20,000. How many products does the company have to sell to achieve break-even point?A . 600B . 550C . 400D . 500View AnswerAnswer: D Explanation: Break even point =...
Which of the following might be consequences of over-specification? Select TWO that apply:
Which of the following might be consequences of over-specification? Select TWO that apply:A . Reducing motion wasteB . Higher cost due to inessential featuresC . Limiting competition in supply marketD . Lack of essential featuresE . Better contract managementView AnswerAnswer: B, D Explanation: Over-specification can cause problems to buying organisation,...
Which of the following is the structured approach for defining customer requirements and translating them into technical specification?
Which of the following is the structured approach for defining customer requirements and translating them into technical specification?A . Kano modelB . Thomas-Kilmann modelC . Quality function deploymentD . Mendelow's matrixView AnswerAnswer: C Explanation: Quality function deployment (QFD) is a method to transform qualitative user demands into quantitative parameters, to...
At which stage of through-life contract management, procurement team needs to identify sources of risk and the ways to mitigate them?
At which stage of through-life contract management, procurement team needs to identify sources of risk and the ways to mitigate them?A . Specification stageB . Supplier relationship stageC . Tendering stageD . Contracting stageView AnswerAnswer: B Explanation: Risk management has become incredibly complex, especially for capital purchase which requires through-life...
This saving is known as...?
A charity is reviewing their spend and budget after an operation in flooded areas. They realise that the operators save money against the budgeting plan. This saving is known as...?A . Negative budgetB . Positive varianceC . Negative varianceD . Positive budgetView AnswerAnswer: C Explanation: The difference between the actual...
In order to estimate an approximate value of fixed and variable costs in that industry, which of the following technique should be adopted by the procurement manager?
A procurement manager is requested to source a major component. She needs information on sup-pliers’ direct and indirect cost, fixed and variable costs to prepare for negotiations. Therefore, she collects 17 annual reports from potential suppliers who are competing in the same industry. In order to estimate an approximate value...
Which of the following factors might prompt an organisation to procure an alternative product?
Which of the following factors might prompt an organisation to procure an alternative product? Select THREE that apply:A . Brand loyaltyB . Relative value to money between optionsC . Buying organisation's propensities to changeD . Easy access to distribution channelE . Threat of retaliationF . Switching costView AnswerAnswer: B, C,...
This arrangement is known as...?
A procurement manager is discussing with other stakeholders about the scope and the implementation of the upcoming construction project. A stakeholder argues that the construction projects are often risky as the overall scope of the work can't be accurately estimated from the beginning. Furthermore, the project spans over a long...
