Free and Premium CIPS L3M1 Dumps Questions Answers

Explanation

CO2 is the correct answer - carbon dioxide.

CO is carbon monoxide; H20 is water (or steam or ice) and CO3 is carbon trioxide.

Explanation

Competitive rivalry within an industry.

This can be quite an important point, and why I have such a dislike of the less formal title for the model - the model is about entire industries, not just about a single firm - this is commonly misun-derstood by students (and sadly, some tutors) - and the original Porter title - 'Industry Structure Analysis' - helps us understand that, I think. I find this tool of analysis to be very helpful in under-standing behaviour within sectors, despite criticism of the model and its age from some commenta-tors

The other answers shown are mere fictions.

Explanation

It's a supplier quotation.

Both the RFQ and the PQQ (sometimes known as 'SQ') are issued by the buying side, not the sell-ing side.

A commercial invoice doesn't tell you what the price 'would be' - it tells you what is owed after the event (usually - an exception being with prepayment in mind; or a 'proforma invoice' which is issued in some circumstances, especially internationally).

Economy is most easily thought of as paying less, hopefully with no loss of quality, service, etc

Effectiveness is most easily thought of as achieving the right outputs.

What one really seeks is effectiveness. Unfortunately it is possible to be efficient without being ef-fective. An example from my work life is the collection of statistics / 'returns'. I have come across parts of organisations which were very efficient at collecting data, but the data were not used in any meaningful way - the outputs of the efficiency did not add value and did not create useful outputs. There was a lack of effectiveness. The distinction is worthwhile, I think.

Explanation

Government decisions and actions regarding the level of interest rates and supply of money in the economy.

Fiscal policy relates to taxation and its relationship to government expenditure.

The other two suggested answers: exchange rates and unemployment rates are a factor of other poli-cies; the size of coins and banknotes is beyond the scope of your syllabus and my knowledge. :)

Explanation

Third sector organisations often rely on charitable contributions. An example might be Medecins Sans Frontieres.

They also sometimes receive grants from taxpayers, sometimes in return for work done eg the chari-ty Barnardo's receive government funding in return for advising the British government on man-agement of some children in its care.

Finally some NFPs have, for example, retail outlets which generate income to aid the organisation. Oxfam is such an example.

Third sector can be expected to ster clear of certain areas for ethical reasons. Alcohol, gambling, to-bacco, and weapons are examples.

Explanation

Coal and oil are the correct answers. These are finite resources and will run out some day.

The others shown are renewables.

Explanation

'Retention' - from the word 'retain', meaning to 'keep in place', 'hold back', 'keep possession of' something (Concise Oxford Dictionary, fifth edition) . In this case, 5% of the contract price.

Explanation

An easy question.

Price is what the customer will pay for goods or services eg fifty dollars; payment terms are the ar-rangements under which you pay the price eg in advance, on delivery, 30 days, 60 days, etc.

Although this may seem rather obvious, I have encountered a surprising number of people who seem to confuse the two.

Explanation

This is true. In my view, 'Industry Structure Analysis' is a better term, not only because that is what Michael Porter originally called it, but because it better describes what the model is about. For ex-ample, it reminds us that the model is not about a single firm, but it is about an entire industry, and the structure around that industry.

Explanation

A monopoly is a single supplier (or for some authorities where one supplier has control of the market eg 75% market share); a monopsony is a single buyer.

Perfect competition involves many suppliers and many buyers.

The clue here is the 'small number' of suppliers.

Explanation

The answer is uncertainty avoidance. Even if you have never heard of Hofstede, you can select the correct answer based on the explanation given in the QUESTION NO:.

Although the word 'culture' does not appear in the syllabus, much of Learning Outcome 3.0 can be seen as referring to culture. Some understanding of culture, both organisational culture and national culture is essential to human interactions in the procurement and supply environment. Check out Geert Hofstede's website to learn more about his work.

Explanation

Continuously scanning the environment can bring rewards in the form of new supply companies, new products and services, awareness of supply firm or industry difficulties, etc.

Purchasing research is a very close answer to the correct one, but is likely to be more focussed, spe-cific.

If faced with a difficult choice as to which of two options in the exam is correct, think about what was included as part of your syllabus.

In this case, environmental scanning is the first entry in your Learning Outcome 3.1

Explanation

This is true.

A limited company has its own legal identity.

(Your syllabus makes reference to 'unincorporated companies'. This is something of a contradiction - the term 'company' implies incorporation. Although I have not been permitted to see your actual ex-am QUESTION NO:s, it seems unlikely that you will be QUESTION NO:ed on this particular point).

Explanation

This is true: the liability of shareholders is limited to their agreed financial commitment, not beyond that.

Explanation

The correct answer, covering all of these, is 'economic'.

'Political' could also be considered, but 'economic' covers them all.

The other two answers suggested are not really relevant.

Explanation

Shareholders are one example of a range of stakeholders in a private or public limited company.

Explanation

All of these are ways of classifying organisations.

Examples: Retailers, SMEs, limited companies, etc

Explanation

Biodiversity is significantly under threat, with many species being lost almost daily on Earth.

The other answers given in response to this QUESTION NO:, whilst they can be seen as being broadly relat-ed do not fit the bill precisely.

The BBC's one-hour documentary (2020) 'Extinction - The Facts' explains in all-too-chilling detail the meaning of biodiversity, and is recommended viewing for all.

Explanation

It is about climate change. The other answers are simply made up.

Explanation

The GRN, invoice and PO should all match to enable payment to occur.

The BoM will help calculate the extent of the requirement, prior to the PO being issued.

An SLA will help ensure adequate and contractual delivery of any services required.

Explanation

Payment of high salaries and large allowances, may, fairly obviously reduce the amount of profit which can be retained for capital growth. If money is being distributed in this way, it isn't being re-tained.

A profitable company has a choice: to pay dividends to a greater or lesser extent; or retain some of its profits to a greater or lesser extent in the form of retained capital - capital growth.

Increased sales and increased profit may result in increased capital growth, all other things being equal, depending on the firm's dividend policy.

Explanation

This is simply false. Partnerships are normally unincorporated profit-oriented organisations eg ac-countants, lawyers, many consultancies, some retailers, etc. One significant factor about partnerships is that individuals' capital is normally at risk, unlike in limited companies, where the risk is limited.

Explanation

Pre-qualification QUESTION NO:naire is the correct answer.

A supplier quotation comes from the supplier side; both the RFQ and the ITT are intended to be more formally binding, including the price element, than what is described here.

Explanation

This is true.

Explanation

This is the standard definition, widely used, and given in your textbook.

Explanation

This is normally true, often resulting in greater complexity in managing public sector organisations.