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CORE Exam Dumps : Supply Management Core Exam

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Supply Management Core Exam Questions and Answers

Question 1

A buyer for DEF, Inc. has been exceeding spending authority on agreements with several new suppliers. Which of the following Is an accurate statement regarding DEF's liability in this situation?

Options:

A.

DEF is only liable for an amount equal to the buyer's actual authority level.

B.

DEF is fully liable for the agreements, as the buyer is an employee of the company.

C.

DEF is responsible for the agreements if the buyer exceeded actual authority, but the suppliers perceived the spend to be within apparent authority.

D.

DEF is responsible for the agreement if the buyer exceeded actual and apparent authority levels, but only for a value equal to the apparent authority amount.

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Question 2

A supply manager Is planning for negotiations with a sole-source supplier of an essential part. The buying firm is already one of the supplier's top customers, and will need even larger quantities of the part to expand its product line in the near future. The supply manager learns that the supplier may experience some financial risks over the coming year, and that the supplier is anxious to solidify its relationships with major customers to mitigate that risk. Which of the following Is the BEST way for the supply manager to gain a deeper understanding of the supplier's position?

Options:

A.

Perform a SWOT analysis

B.

Perform a Porter's Five Forces analysis

C.

Determine the supplier's bottom line position

D.

Determine the buying firm's bottom line position

Question 3

A supply manager is preparing the department's budget for the next year. Which of the following is the FIRST step in this process?

Options:

A.

Controlling expenditures during the budgetary year

B.

Reviewing the organization's goals

C.

Defining the needed resources

D.

Presenting the budget for review