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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 firm enters into a contract with a minority business. The invoice does not match the purchase order, and some incorrect items are shipped. The erroneous items, valued at $5,000, are returned. The replacement items are scheduled to be delivered within 2 days. The total invoice is for $18,000, which is a substantial amount for the business. Preferential payment terms have previously been negotiated from 30 to 14 days from receipt of goods, as cash flow is a significant issue. The situation is summarized as follows:

Purchase Order RaisedGoods Received Invoiced

Timing18 days ago 13 days ago 12 days ago

Amount$18,000 $18,000 $18,000

As it will take one business day to process payment, a decision needs to be made on whether the supplier should receive payment on time. Which of the following courses of action should the supply manager take?

Options:

A.

Pay the full $18,000 immediately

B.

Pay $18,000 14 days after receipt of all the goods in the original purchase order

C.

Pay $13,000 now and $5,000 upon receipt of the replacement goods

D.

Pay $13,000 now and $5,000 14 days after receipt of the replacement goods

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Question 2

When developing a category management plan, which of the following is the BEST reason for soliciting cross-functional input?

Options:

A.

It facilitates Input from stakeholders and other functional areas to ensure a long-term solution.

B.

It provides an opportunity to demonstrate non-linear leadership.

C.

It allows the category manager to gain important insights from the supply management team.

D.

It enables the category manager to resolve conflicting views and priorities for goods or services.

Question 3

A supplier's willingness to deal with rejected materials, fill surges in orders, and provide technical support will be MOST affected by which of the following?

Options:

A.

Creating teaming agreements with suppliers

B.

Negotiating Inclusive terms and conditions

C.

Maintaining good supplier relationships

D.

Including such conditions in the statement of work