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[General] Free PDF CIPS - L4M3 Newest Test Lab Questions

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【General】 Free PDF CIPS - L4M3 Newest Test Lab Questions

Posted at 13 hour before      View：6 | Replies：0        Print      Only Author   [Copy Link] 1#
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CIPS L4M3 Exam is a crucial milestone for procurement professionals who want to excel in the field of commercial contracting. L4M3 exam is designed to test the candidates’ knowledge and skills in drafting, negotiating and managing commercial contracts. It is a level 4 exam, which means that it is ideal for procurement professionals who have some experience in the field and are looking to advance their careers.
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CIPS Commercial Contracting Sample Questions (Q28-Q33):NEW QUESTION # 28
Which of the following best defines an 'express' term in general contract arrangements?
  • A. It is a standard set of terms and conditions published by CIPS
  • B. It is not necessarily discussed by the parties, but nonetheless forms part of the contract
  • C. It is the term that is added to the contract by the law or based upon the facts of the case.
  • D. It is clearly agreed between the parties, and is virtually always written down in the contract
Answer: D
Explanation:
Express terms are the terms of the agreement which are expressly agreed between the parties. Ideally, they will be written down in a contract between the parties but where the contract is agreed verbally, they will be the terms discussed and agreed between the parties.
Implied terms are terms implied into the contract by the courts. They are not expressly set out in the contract but are taken to be as effective as if they were and as if they had been included from day one of the contract.
The express terms and any implied terms together create the legally binding obligations on the parties.
Reference:
- Contracts: Express and Implied Terms
- CIPS study guide 126-132
LO 3, AC 3.1

NEW QUESTION # 29
Under general legal principles of contract formation, which of the following will always automatically result in the termination of an offer?
1. Negotiation
2. Rejection
3. Failure conditionality
4. Non-disclosure
  • A. 3 and 4 only
  • B. 1 and 2 only
  • C. 2 and 3 only
  • D. 1 and 4 only
Answer: C
Explanation:
There are a number of ways for an offer to be terminated. They are events that may occur after an offer has been made which bring it to an end so that it can no longer be accepted. An offer is terminated in the following circumstances:
1. Revocation
2. Rejection
3. Lapse of time
4. Conditional Offer (or Failure of Conditionality)
5. Operation of law
6. Death
7. Acceptance
8. Illegality
Reference:
- How Is an Offer Terminated?
- CIPS study guide page 31-32
LO 1, AC 1.2

NEW QUESTION # 30
Parkers Medical Supplies is a distributor of first aid supplies to supermarkets nationwide. A new supplier has approached Parkers with an offer to supply a new and innovative product. Parkers have never dealt with this company before, so are looking to ensure that the new supplier has the necessary insurance cover as the new product could potentially cause personal injury. Which type of insurance should Parkers insist the new supplier takes out?
  • A. Professional indemnity
  • B. Public liability
  • C. Product liability
  • D. Employers' liability
Answer: C
Explanation:
In the context of commercial contracting, it's crucial for buyers to ensure that suppliers have appropriate insurance coverage to mitigate potential risks associated with the products or services provided. Product liability insurance specifically covers the supplier against claims of personal injury or property damage caused by products they have supplied. This type of insurance is essential when introducing new or innovative products to the market, as there may be unforeseen risks associated with their use.
According to the CIPS L4M3 Commercial Contracting Study Guide, product liability insurance is designed to protect against claims arising from injuries or damages caused by defective products. This insurance is particularly important when the buyer is introducing a new product from a supplier with whom they have no prior experience, as it provides a safety net against potential legal and financial repercussions.
Reference:CIPS L4M3 Commercial Contracting Study Guide, Chapter 3, Section 3.2.1 - Key terms in contracts for indemnities and liabilities, sub-contracting, insurances, guarantees, and liquidated damages.

NEW QUESTION # 31
Social and environmental criteria are often incorporated into which of the following type of specification?
  • A. Output specification
  • B. Conformance specification
  • C. Technical specification
  • D. Design specification
Answer: A
Explanation:
Developing and using generic specifications is as import in the sustainable procurement process as it is in the traditional procurement process. During this stage, human/labour rights and environmental performance criteria should be translated into specifications that meet specific requirements of the specified outcome, desired by the procurement action.
The specification stage is key to all types of contract. Building in environmental and social considerations at this early stage, provides a clear indication to suppliers that sustainability is important to the UN organization.
Consider available alternatives which are less environmentally and socially damaging. Consider all the phases of a product's life cycle (e.g. production, transportation, maintenance, disposal, etc) when determining its cost and environmental impact. Assess the overall environmental and social integrity of suppliers by looking at their policies and practices.
Specifications which are output-based rather than input-based can increase supplier innovation, reduce waste and minimise harmful social and environmental impacts.
Reference:
- Sustainable Procurement
- CIPS study guide page 95-99
LO 2, AC 2.1

NEW QUESTION # 32
Maximum Score 1
An effective key performance indicator should be:
  • A. Specific, measurable, achievable, realistic, timely
  • B. Standardised, meaningful, achievable, realistic, typical
  • C. Specific, meaningful, analysed, realistic, typical
  • D. Sustainable, measurable, analysed, realistic, timely
Answer: A
Explanation:
The recognised KPI standard is the SMART model -
Specific, Measurable, Achievable, Realistic, Timely.
This ensures clarity and accountability in performance measurement.
Reference: CIPS L4M3 Commercial Contracting - "Setting SMART KPIs."

NEW QUESTION # 33
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