Biography
CIPS L4M7 Free Test Questions | L4M7 Test Practice
We have always been known as the superior after sale service provider, since we all tend to take lead of the whole process after you choose our L4M7 exam questions. So you have no need to trouble about our L4M7 study guide, if you have any questions, we will instantly response to you. Our L4M7 Training Materials will continue to pursue our passion for better performance and comprehensive service of L4M7 exam.
CIPS L4M7 exam is a highly specialized qualification that focuses on Whole Life Asset Management. It is designed for professionals who are looking to enhance their skills in the field of asset management and develop a deep understanding of the entire lifecycle of an asset. L4M7 exam is recognized globally and is highly respected in the industry. It covers a range of topics and requires a high level of dedication and commitment from candidates. L4M7 Exam is an excellent opportunity for asset management professionals to demonstrate their expertise and advance their careers.
>> CIPS L4M7 Free Test Questions <<
L4M7 Test Practice | Pdf L4M7 Files
Our design and research on our L4M7 exam dumps are totally based on offering you the best help. We hope that learning can be a pleasant and relaxing process. If you really want to pass the L4M7 exam and get the certificate, just buy our L4M7 Study Guide. Our simulating exam environment will completely beyond your imagination. Your ability will be enhanced quickly. Let us witness the miracle of the moment!
CIPS L4M7 Certification Exam is an essential program for professionals who are interested in building a career in asset management. CIPS Whole Life Asset Management certification program equips candidates with the knowledge and skills needed to optimize asset performance over an extended period, making them valuable assets to any organization. If you are interested in taking your asset management career to the next level, the CIPS L4M7 Certification Exam is the perfect program for you.
The topics covered in the CIPS L4M7 exam are highly relevant to procurement professionals who work in a range of industries, including manufacturing, construction, transportation, and energy. By gaining this certification, professionals can demonstrate their knowledge and skills in asset management, making them highly valued members of any procurement team.
CIPS Whole Life Asset Management Sample Questions (Q26-Q31):
NEW QUESTION # 26
A procurement manager has agreed a contract for the acquisition of a piece of capital equipment and has negotiated a staged payment contract of 30% with order, 30% on delivery, and the remaining 40% on acceptance testing. Was this the right thing to do?
- A. No, as it commits the organization to purchasing the equipment and the supplier to deliver it
- B. Yes, as the payments can be linked directly to a specific performance milestone of the contract
- C. Yes, as it means the contract warranties are easier to change
- D. No, as it is an unfair contract term and places the supplier at a disadvantage in the contract
Answer: B
Explanation:
Staged payments linked to milestones (order, delivery, and acceptance testing) provide a fair and structured approach for both buyer and supplier. They ensure:
* Alignment with performance: Payment is contingent on the supplier meeting specific contract stages, protecting the buyer.
* Risk mitigation: The buyer avoids full payment upfront, reducing financial exposure.
In whole-life asset management, this approach enables better cost control and accountability throughout the equipment's lifecycle.
NEW QUESTION # 27
In the Appendix A of a long-term supply contract of Bulk Drug Substance, both parties agree that "The reference price for Bulk Product at the specification, per gram, shall be US$10. The unit price for Bulk Product for a specific Purchase Order shall be computed by multiplying the above- specified reference price by two corrective factors, namely inflation correction factor and exchange rate correction factor". This pricing appendix is an example of...?
- A. Volume-based pricing
- B. Adjustable pricing
- C. Fixed pricing
- D. Discounted pricing
Answer: B
Explanation:
Price setting mechanisms fall into two main categories: fixed and variable. A fixed price mecha-nism is a straightforward concept which typically results in a relatively stable budget that can be forecast. Variable mechanisms have an element of variable pricing per unit bought.
Setting a fixed price mechanism is in theory a relatively simple and straightforward concept, where the collector and the buyer agree on a fixed price for a specific material or mix of materials, for a certain length of time.
All other pricing mechanisms that are not fixed have an element of variable pricing per unit bought.
The most common variable pricing mechanisms can be divided into two groups:
1. Where the benefit accruing to the buyer from acquiring the material is used to calculate what the payment to the seller should be; or Approaches to Materials Sales: A guide for local authorities
2. Where the price paid is indexed to a published source of market price information. The above scenario demonstrates variable pricing mechanism using published sources on inflation rate and exchange rate. CIPS also refers this mechanism as adjustable prices.
NEW QUESTION # 28
A warehouse manager is evaluating the use of Automated Guided Vehicles (AGVs) within a repetitive task environment. After reviewing their use and price, the manager decided to invest in several AGVs. Were they correct in doing this?
- A. Yes, as it will reduce the costs of employing labour
- B. No, as they are only suitable for use in non-repetitive task environments
- C. No, as it reduces the flexibility of the warehouse operations
- D. Yes, organisations must use high-tech solutions where possible
Answer: A
NEW QUESTION # 29
Which of the following is an assumption of economic-order-quantity model?
- A. The quantity ordered can vary at each reorder point
- B. The purchasing cost per unit is affected by the order quantity
- C. Demand, ordering costs, and carrying costs are uncertain
- D. No inventory stockouts occur
Answer: D
Explanation:
Economic order quantity (EOQ) model is the method that provides the company with an order quantity. This order quantity figure is where the record holding costs and ordering costs are mini-mized. By using this model, the companies can minimize the costs associated with the ordering and inventory holding. In 1913, Ford W.
Harris developed this formula whereas R. H. Wilson is given credit for the application and in-depth analysis on this model.
If the economic order quantity model is applied, the following assumptions should be met:
- The rate of demand is constant, and total demand is known in advance.
- The ordering cost is constant.
- The unit price of inventory is constant, i.e., no discount is applied depending on order quantity.
- Delivery time is constant.
- Replacement of defective units is instantaneous.
- There is no safety stock level, i.e., the minimum stock level is zero.
- Restocking is made by the whole batch.
Because the demand and lead time are constant, no stockout events can occur.
Reference:
LO 2, AC 2.3
NEW QUESTION # 30
A procurement manager has been asked to justify the purchase of a large piece of capital equipment valued at
£500,000 to internal stakeholders. The procurement manager decided to prepare the justification using a comprehensive formal business case due to the value of the purchase. Were they correct in doing this?
- A. Yes, as the procurement manager should undertake a comprehensive formal business case justification whatever the value of the purchase is likely to be
- B. No, as the procurement manager can always make the decision to purchase the asset on their own without any involvement or permission from the senior management team
- C. No, as the senior management would be able to make a decision on the proposed investment with little or no financial justification as they would be better placed to judge the requirement
- D. Yes, as the value of the proposed purchase is substantial and would require a significant capital investment by the organisation and approval of the senior management team
Answer: D
NEW QUESTION # 31
......
L4M7 Test Practice: https://www.validexam.com/L4M7-latest-dumps.html
