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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 company's accounting department implements a new system to track liabilities for capital assets. The reports developed by this system exclude some important indirect procurement data (e.g., transactions related to test equipment), as this information is tracked by another system. Which of the following is the BEST course of action for the firm to take in this situation?

Options:

A.

Estimate the total debts and assets being tracked outside the system and correct any large variances on a quarterly basis

B.

Notify senior management that reports from the new system may understate the company's debts and assets

C.

Notify the entire organization of the issue during the next iteration of the tool

D.

Take no action, as the aggregate numbers reported to shareholders will not be severely affected

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Question 2

A supply manager Is conducting negotiations with a supplier. The supplier states that it cannot offer a lower price because the product under negotiation is covered by a government contract. In this situation, the supply manager should

Options:

A.

offer to reduce the order quantity

B.

negotiate the other terms and conditions, and return to the issue of price at a later time

C.

conclude that this is in fact the best price that the supplier can legally offer

D.

require the supplier to provide specifics on the government contract restrictions

Question 3

A supply management department obtains executive support to adopt category management. Which of the following is a key step in establishing the categories to be managed?

Options:

A.

Developing a category management governance structure

B.

Conducting a Pareto analysis

C.

Developing category-specific action plans

D.

Conducting a spend and forecast analysis