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L4M3 Exam Dumps : Commercial Contracting

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Commercial Contracting Questions and Answers

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Question 1

Since services are intangible, so KPIs for services must be qualitative in all circumstances. Is this statement correct?

Options:

A.

No, KPIs for services must always be quantitative so that they can be measured easily

B.

No, some KPIs for services are measurable by means of outcome, time and space performed

C.

Yes, quantitative KPIs are limited to timeliness of supply of goods, defective rates and in-full quantities, which are applied to monitor supplier of physical goods

D.

Yes, the only measure mattered to supply of services is end-users' satisfaction

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Question 2

In a contract, both buyer and supplier agreed the lead time is 3 days. The contract also requires that any variation must be made in writing. Then the buyer places an order by phone call and requests delivery the next day, but the supplier delivers on the third day since the order. Can buyer refuse to pay as supplier did not deliver per time?

Options:

A.

No, the supplier delivers within a reasonable time

B.

Yes, late delivery is a force majeure event

C.

Yes, the supplier has breached the contract

D.

No, supplier has shortened lead time to 1 day

Question 3

Which of the following indicates the ratio between profit and costs?

Options:

A.

Gearing

B.

Margin

C.

Mark-up

D.

Liquidity

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