NPMA CPPS Practice Test with Complete Solutions.docx

NPMA CPPS Practice Test with Complete S What is the document most organizations use that describes and conveys the process steps taken to produce a desired result? - Answer-Procedure Which of the following terms means "to possess and have use of property of another with delegated responsibilities"? - Answer-Accountability What element is crucial to the entire process of the property control system? - Answer- Records When does the Acquisition begin? - Answer-Needs have been defined What is the first step of the approval process when making a purchase? - Answer- Obtaining approval to spend budgeted organizational funds 3. When a decision has been made to buy new equipment, considerations should be decided, such as: immediate availability, extended service warranties, and . - Answer-Advanced technology When a Purchase Order has been completed, Purchasing should provide a copy of the Purchase Order to property management, the originator, accounts payable, and what other department? - Answer-Receiving What establishes delegation of authority for signature approval thresholds and types of property for those signature levels? - Answer-Organization procedure In organizations having online financial systems, documentation is created electronically and is retained in the system's transaction history. It is often used as part of a three-way match of transactions prior to payment: the PO, the receiving documentation, and the . - Answer-Invoice to trace items that are lost or misappropriated during the receiving process or during delivery from the receiving area. - Answer-Receiving voucher log What is a disadvantage of centralized receiving? - Answer-Slower turn-around time for deliveries What information is NOT typically recorded in a receiving voucher log? - Answer- Purchasing department order date and cost Why is it important that the Receiving department inspect for damage? - Answer- Provide information for a potential return of the item to the vendor What is one accomplishment by tagging of new, incoming property? - Answer- Establishes the official record for that item Types of property that generally require serialized tags are: - Answer-Government property sensitive property Reasons accountable property is tagged because of its sensitivity, requirement for control and what? - Answer-Dollar value What does the accuracy of bar-code technology depend on? - Answer-The accuracy of the data capturing process Assets acquired by the subcontractor must be tagged in accordance with the policies and procedures unless otherwise specified in the subcontract award document. - Answer-Prime contractor's What is the method of inventory and distribution that moves the oldest items in storage to the location where they will be used first (i.e. there is concern that the items may have a limited shelf-life)? - Answer-FIFO Warehouse operations include several integrated functions, including: - Answer-Space allocation What does using proper temperature and humidity controls in a warehouse environment help ensure? - Answer-Does not deteriorate when being stored Just-in-time (JIT) delivery has both advantages and disadvantages. What is one DISADVANTAGE? - Answer-Increases the costs of purchased goods Which of these is NOT a factor that should be considered when deciding on the appropriate layout of a warehouse? - Answer-Acquisition method of items When should property that has been taken offsite for approved use be returned? - Answer-During the physical inventory What is the name of the movement document used to track the short-term movement of equipment that may be used by multiple users? - Answer-Equipment log-out form The following characteristics are a factor when selecting a shipping container: Size and weight of item, mode of transportation, manufacturer specifications, and . - Answer-Physical characteristics What are the two most important things that must be considered when assets are moved from point to point? - Answer-Physical protection and location changes in the records When should the movement of an item be recorded in the property records? - Answer- Following the movement of the item Who is responsible for maintenance and calibration? - Answer-Anyone who observes, uses, or services an item What types of maintenance should be covered in a Maintenance Plan? - Answer- Repair, unscheduled, preventive maintenance, calibration When selecting maintenance software, you should allow for what type of records? - Answer-Multiple Service Requirements What results in cost savings, preventing downtime and reduced production? - Answer- Maintenance plan What best describes a Maintenance Plan? - Answer-Items requiring regularly-scheduled inspection and service should be scheduled for recall via a systematic process What is the role of the physical inventory? - Answer-To ensure assets recorded in the property system physically exist c. To ensure materials in storage have not exceeded their established shelf-life Which equipment is more prone to loss other than theft? - Answer-Roving Equipment What is the factor that largely determines the frequency of a physical inventory? - Answer-Type of property Periodic inventories are based on what factors if not mandated by specific contract language? - Answer-Type, location, and value of the property Which type of physical inventory would one use if a 100% inventory is not cost effective or used for low cost consumable items? - Answer-Statistical Sampling The Property Manager must establish support and maintain the utilization program by actively participating in the management processes that establish and adjust requirements on which the business is based. Some of these processes are: - Answer- Managing current leases and proposing new leases Using assets provided by another entity for the unauthorized purpose could result in which of the following: - Answer-Create a liability for the organization Which is considered a benefit of property reutilization program? - Answer-Transfer available excess property among departments in lieu of new purchases To have a reutilization program that works effectively, the property system must: - Answer-Identify excess assets and obsolete items The primary objectives of an effective utilization management program are: - Answer-To maximize the use of the asset throughout its useful life For future use, items recovered from repair work, rework, testing, or cannibalization are: - Answer-Return to stores What can be prevented with a property consumption program? - Answer-Loss or theft of inventory A solid consumption program is based on which following item? - Answer-Identifying requirements Demand changes can affect which of the following? - Answer-Receipt of different items A solid consumption program is based on which of the following items? - Answer- Reviewing and adjusting requirements as needs change When property is damaged or is no longer usable it may still have material value. What is one way to disposition an item with material value only to receive revenues and avoid the cost of waste management? - Answer-Recycling Which organization should partner with Property Management to ensure available excess property is effectively reviewed and screened for re-use before property is acquired? - Answer-Procurement