Certification Exam Study Guide, Federal Acquisition Institute FAI
Exam Prep, Federal Contracting, FAR, Acquisition Planning, Contract
Formation, Contract Administration, Competition, Source Selection,
Pricing, Cost & Payment, Practice Questions, Answers & Rationales
Question 1: What is the primary purpose of the Federal Acquisition Regulation
(FAR)?
A. To regulate private sector employment practices
B. To provide uniform policies and procedures for acquisition by all executive
agencies
C. To manage military operations worldwide
D. To establish tax regulations for federal contractors
CORRECT ANSWER: B. To provide uniform policies and procedures for
acquisition by all executive agencies
Rationale: The FAR provides consistent, uniform policies and procedures for
acquisition by all executive agencies of the federal government. It is codified in
Title 48 of the Code of Federal Regulations and serves as the baseline regulatory
framework for federal acquisitions.
Question 2: How many parts are contained in the Federal Acquisition
Regulation?
A. 48
B. 51
C. 53
D. 55
CORRECT ANSWER: C. 53
Rationale: The FAR is divided into 53 distinct parts, organized into 8 subchapters
covering topics from general provisions (Part 1) to solicitation provisions and
contract clauses (Part 52) to forms (Part 53). Understanding the FAR's structure is
fundamental for contracting professionals.
Question 3: Which FAR part sets forth the basic policies and general information
about the Federal Acquisition Regulations System?
,A. FAR Part 1
B. FAR Part 2
C. FAR Part 5
D. FAR Part 7
CORRECT ANSWER: A. FAR Part 1
Rationale: FAR Part 1 establishes the purpose, authority, applicability, and basic
policies of the FAR system. It defines key concepts such as the roles of agencies,
deviations, and the regulatory structure. Part 2 covers definitions, Part 5
addresses publicizing contract actions, and Part 7 covers acquisition planning.
Question 4: According to FAR 1.108(b), which statement about delegating
authority is true?
A. Authority is never delegable
B. Authority is delegable only with OFPP approval
C. Authority is always delegable
D. Authority is delegable unless specifically stated otherwise
CORRECT ANSWER: D. Authority is delegable unless specifically stated otherwise
Rationale: Under FAR 1.108(b), authority is delegable unless the FAR explicitly
states otherwise. This allows for organizational flexibility while maintaining
accountability within the acquisition system.
Question 5: Which of the following is NOT a recognized type of contracting
officer under the FAR?
A. Contracting Officer (CO)
B. Administrative Contracting Officer (ACO)
C. Terminating Contracting Officer (TCO)
D. Executive Contracting Officer (ECO)
CORRECT ANSWER: D. Executive Contracting Officer (ECO)
Rationale: The three primary types of contracting officers recognized under the
FAR are the Contracting Officer (CO), Administrative Contracting Officer (ACO),
and Terminating Contracting Officer (TCO). "Executive Contracting Officer" is not
a recognized designation under the FAR.
,Question 6: What is a Procurement Instrument Identifier (PIID)?
A. A unique number identifying each solicitation, contract, agreement, or order
B. A classification code for product types
C. A contractor identification number
D. A budget tracking number
CORRECT ANSWER: A. A unique number identifying each solicitation, contract,
agreement, or order
Rationale: A PIID is a unique alphanumeric identifier assigned to each
procurement action, including solicitations, contracts, agreements, and orders, to
facilitate tracking and management throughout the acquisition lifecycle.
Question 7: What document must be provided to a contracting officer to
delegate authority?
A. A Memorandum of Understanding (MOU)
B. A Certificate of Appointment (SF 1402)
C. A Performance Work Statement (PWS)
D. A Quality Assurance Surveillance Plan (QASP)
CORRECT ANSWER: B. A Certificate of Appointment (SF 1402)
Rationale: Standard Form 1402, Certificate of Appointment, is the official
document that delegates contracting authority to a contracting officer. This form
specifies the scope of authority, limitations, and the appointing official.
Question 8: Which FAR part contains the contract clauses used in federal
acquisitions?
A. FAR Part 7
B. FAR Part 15
C. FAR Part 37
D. FAR Part 52
CORRECT ANSWER: D. FAR Part 52
Rationale: FAR Part 52 contains solicitation provisions and contract clauses used
in federal acquisitions. These clauses address various requirements including
labor standards, equal opportunity, termination, and payment terms.
, Question 9: What is the primary purpose of conducting market research under
FAR Part 10?
A. To determine the exact price the government should pay
B. To identify the capabilities of the marketplace and determine if commercial
items exist
C. To eliminate competition from large businesses
D. To establish a sole-source justification
CORRECT ANSWER: B. To identify the capabilities of the marketplace and
determine if commercial items exist
Rationale: Market research is conducted to determine if commercial products or
commercial services are available to meet agency needs, identify capable sources,
and inform acquisition planning decisions. It helps the government make
informed decisions about acquisition strategy.
Question 10: When must market research be conducted according to FAR Part
10?
A. Only for acquisitions exceeding the Simplified Acquisition Threshold
B. Before developing new requirements and before soliciting offers for
acquisitions over the SAT
C. Bi-annually for all recurring contract vehicles
D. Only when a new vendor expresses interest in a requirement
CORRECT ANSWER: B. Before developing new requirements and before
soliciting offers for acquisitions over the SAT
Rationale: FAR 10.001 requires market research before developing new
requirements and before soliciting offers for acquisitions with a total value over
the Simplified Acquisition Threshold.
Question 11: What is the preferred method of describing agency requirements
to encourage full and open competition?
A. Brand name or equal descriptions
B. Performance-based work statements
C. Detailed design specifications
D. Sole-source justifications