Question 1

What is the output of regression analysis?

Options :

A : Dependent variables

B : Line of best fit

C : Forecasting process

D : Independent variables

Answer: B

Question 2

Given that Wilkinson Ltd operates in a market where customers are highly budget-conscious, what is the likely implication for the bargaining power of suppliers and buyers?

Options :

A : Suppliers’ bargaining power will increase, while buyers’ bargaining power will decrease.

B : There will be no significant change in the bargaining power of either suppliers or buyers.

C : Both suppliers’ and buyers’ bargaining power will decrease.

D : Suppliers’ bargaining power will decrease, while buyers’ bargaining power will increase.

Answer: D

Question 3

A buyer in Housing Authority is considering using performance specification in upcoming social housing project. What should buyer be aware when using this type of specification?

Options :

A : The buyer must be able to clearly define the performance metrics to ensure that the offered solution will achieve the desired outcome

B : Using performance specification means that the buyer will bear all the risks regarding the fitness for purpose of the facility.

C : In performance specification, specific brands and preferred suppliers must be appointed to avoid the competition

D :

The buyer must be able to define the materials to be used, the execution and installation methods required and the specific design of the building

Answer: A

Question 4

OMK is a Russian steel firm that is expanding market abroad. It plans to build a steel plant in a foreign country. Due to intricate technical requirements, the plant design will be very complex. Procurement department or technical department alone cannot draft the specification. OMK senior management decides that this task must be treated as a project. Which of the following should be done before writing the specification for new steel plant?

Options :

A : Draft the terms and conditions for plant construction contract

B : Develop project initial document

C : Develop the performance framework for the supplier

D : Invite suppliers to the tendering process

Answer: B

Question 5

What does the acronym RAQSCI stand for?

Options :

A : Relationship, Availability, Quantity, Sustainability, Cost, Innovation

B : Regulatory, Ability, Quality, Service, Cost, Inventory

C :

Regulatory, Availability, Quantity, Sustainability, Inventory

D : Relationship, Ability, Quality, Service, Cost, Innovation

E : Regulatory, Availability, Quality, Service, Cost, Innovation

Answer: E

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