Title: CIPS L4M3 Exam Reference & New L4M3 Exam Cram [Print This Page] Author: paulkin153 Time: yesterday 22:08 Title: CIPS L4M3 Exam Reference & New L4M3 Exam Cram P.S. Free 2026 CIPS L4M3 dumps are available on Google Drive shared by SurePassExams: https://drive.google.com/open?id=1q29Rr9Zgxi9vv-Jxuu0zX1y1XkMGj-da
When you choose SurePassExams's Dumps for your CIPS L4M3 exam preparation, you get the guarantee to pass L4M3 exam in your first attempt. We have the best L4M3 exam braindumps for guaranteed results. You can never fail L4M3 exam if you use our products. We guarantee your success in L4M3 exam or get a full refund. You can also get special discount on L4M3 Braindumps when bought together. Purchase L4M3 braindumps preparation bundle for intense training and highest score. Take L4M3 PDF files with you on mobile devices and install L4M3 exam practice software on your computer.
CIPS L4M3 certification exam, also known as CIPS Commercial Contracting, is a professional qualification offered by the Chartered Institute of Procurement & Supply (CIPS). L4M3 exam is designed to test the skills and knowledge of procurement professionals who are involved in commercial contracting. It is one of the most sought-after qualifications in the procurement industry, and it is recognized by employers all over the world.
CIPS L4M3 Exam is aimed at individuals who are currently working in or aspiring to work in procurement and contract management roles. L4M3 Exam covers a range of topics related to commercial contracting, including contract formation, contract negotiation, contract administration, and contract close-out. Successful completion of the exam demonstrates an individual's proficiency in these areas and their ability to contribute to the success of their organization.
Pass Guaranteed Quiz 2026 L4M3: High Hit-Rate CIPS Commercial Contracting Exam ReferenceIf you are new to our website, you can ask any questions about our L4M3 study materials. Our workers are very familiar with our L4M3 learning braindumps. So you will receive satisfactory answers. What is more, our after sales service is free of charge. So our L4M3 Preparation exam really deserves your choice. Welcome to come to consult us. We are looking forward to your coming at any time. CIPS Commercial Contracting Sample Questions (Q131-Q136):NEW QUESTION # 131
Tony Campbell, a West Logistics Ltd (WLL) procurement manager, is working on a specification for a data storage solution. The current version of an Information Security Management standard (ISO 27001) has been identified as a suitable standard for potential suppliers to be certified to. What is the advantage to WLL of stipulating this type of standard within a product specification?
A. It allows the buying organisation to set the pricing for its products
B. It ensures the suppliers control spending and pass the savings on
C. It allows all suppliers to understand the common criteria that is required
D. It removes the requirement for quality management measures
Answer: C
Explanation:
Referencing recognised international standards like ISO 27001 in specifications ensures that all potential suppliers understand and meet a uniform set of expectations regarding data security. This not only promotes consistency but also reduces the burden on the buyer to evaluate varied, incompatible approaches.
Reference:
CIPS L4M3 Commercial Contracting Study Guide, Chapter 2, Section 2.1.3 - Use of international and industry standards in specifications.
NEW QUESTION # 132
Maximum Score 1
Adornical Toys Ltd have recently declared their commitment to international labour standards. Karim is sourcing a supplier for a new range of wooden toys and is keen to ensure that the organisation's corporate objectives are met. Which of the following approaches could he include as part of his specification requirements to achieve this labour outcome?
A. Formally measure their carbon footprint
B. Accreditation to waste reduction schemes
C. Use ecologically certified raw materials
D. Certification to an ethical trading initiative
Answer: D
Explanation:
To meet labour standards, the most appropriate requirement is ethical trading certification (A) - ensuring fair wages, safe conditions, and compliance with global labour rights.
The other options relate mainly to environmental, not labour, outcomes.
Reference: CIPS L4M3 Commercial Contracting - "Ethical sourcing and labour standards."
NEW QUESTION # 133
CMS Corp goes into a gainshare agreement with the contractor, EIP Ltd. Both parties agree that the final fee will be calculated on target cost - target fee basis. Which of the following will affect the final fee payable in this gainshare agreement? Select TWO that apply:
A. Actual cost
B. Purchaser goodwill
C. Supplier share
D. Accrual expense
E. Final price
Answer: A,C
Explanation:
An incentive contract is a sub-segment of a fixed-price or cost-reimbursement contract when there are specific cost or time commitments that are desired for a project. The standard incentive contract will allow for a fixed price to be paid for work to be completed by a specific deadline and at a specific cost.
There are two major types of incentive contracts: Cost-plus-incentive fee and Fixed-price incentive (firm target) contracts. Both types have the same formula for calculating final fee and final price.
The target fee is the amount that will be paid if the actual costs (which can be proven) match thetarget costs The actual fee will be adjusted in proportion to the difference between the target cost and the actual cost. The usual calculation is:
Target fee + ((target cost - actual cost) x Supplier share) = final fee The final price then becomes:
Actual cost + final fee = final price
Reference: CIPS study guide page 185
LO 3, AC 3.3
NEW QUESTION # 134
Which of the following is used to detail the complex matter that may be verbiage to the main document?
A. Subcontracting
B. Schedule
C. Standard terms and conditions
D. Contract variation
Answer: B
Explanation:
Without further explanation, a schedule may be deemed to form an integral part of the obligations of either or both parties. Obviously, the scope or binding nature of such schedule depends on the way it is referred to in the obligatory language of the main agreement. Accordingly, merely attaching the general terms and conditions of sale without explaining to which part of the sale they apply or which provisions apply does not subject a sale pursuant to the body text of the agreement to those general terms and conditions.
Subcontracting is the practice of assigning, or outsourcing, part of the obligations and tasks under a contract to another party known as a subcontractor.
Reference:
- Schedules, annexes and exhibits
- CIPS study guide page 22-26
LO 1, AC 1.1
NEW QUESTION # 135
When should liquidated damages clauses be written into a contract?
A. When the innocent party wants to punish the breaching party.
B. When the court approves the damages amount before the contract is executed.
C. When the loss to the innocent party will be either too uncertain or too difficult to calculate.
D. When the breaching party wants to exclude all its liabilities
Answer: C
Explanation:
Liquidated damages are presented in certain legal contracts as an estimate of otherwise intangible or hard-to-define losses to one of the parties. It is a provision that allows for the payment of a specified sum should one of the parties be in breach of contract.
Liquidated damages are meant as a fair representation of losses in situations where actual damages are difficult to ascertain. In general, liquidated damages are meant to be fair, rather than punitive.
Limitations of Liquidated Damages
It is possible that a liquidated damages clause might not be enforced by the courts. This can occur if the monetary amount of liquidated damages cited in the clause is extraordinarily disproportional to the scope of what was affected by the breached contract.
Such limitations prevent a plaintiff from attempting to claim an unsubstantiated exorbitant amount from a defendant. For instance, a plaintiff might not be able to claim liquidated damages that amount to multiples of its gross revenue if the breach only affected a specific portion of its operations. The concept of liquidated damages is framed around compensation related to some harm and injury to the party rather than a fine imposed on the defendant.
The courts typically require that the parties involved make the most reasonable assessment possible for the liquidated damages clause at the time the contract is signed. This can provide a sense of understanding and reassurance of what is at stake if that aspect of the contract is breached. A liquidated damages clause can also give the parties involved a basis to negotiate from for an out-of-court settlement.
Reference:
- Liquidated Damages
- CIPS study guide page 158-159
LO 3, AC 3.2
NEW QUESTION # 136
......
CIPS L4M3 latest exam lab questions are collected and arranged based on latest exam questions and new information materials. It covers a range wide and includes latest exam knowledge points. If you are urgent to pass exam L4M3 Latest Exam lab questions will be the best preparation materials for you. Complete and valid exam study learning materials will help you save time cost and economic cost, then clear exam easily. New L4M3 Exam Cram: https://www.surepassexams.com/L4M3-exam-bootcamp.html