CORRECT ANSWERS (VERIFIED
ANSWERS) PLUS RATIONALES 2025
1. What is the primary purpose of a Request for Proposal (RFP) in the meeting
planning process?
A) To negotiate hotel room rates
B) To collect detailed bids and proposals from suppliers
C) To announce the meeting dates to attendees
D) To finalize the event agenda
Answer: B) To collect detailed bids and proposals from suppliers
Rationale: An RFP is issued to gather detailed proposals from venues, suppliers,
or service providers so planners can compare options based on price, services,
and availability.
2. Which of the following is the most effective way to manage risks associated
with a large outdoor event?
A) Purchase comprehensive event insurance and develop an emergency plan
,B) Require attendees to sign liability waivers
C) Schedule the event only during daytime hours
D) Limit attendance to local residents only
Answer: A) Purchase comprehensive event insurance and develop an emergency
plan
Rationale: Risk management involves preparation including insurance coverage
and an actionable emergency response plan to mitigate potential issues.
3. What does the term “attrition clause” in a venue contract typically refer to?
A) A penalty if the planner cancels the event
B) The minimum number of hotel rooms the planner must book or pay for
C) The right to use venue staff for event setup
D) The schedule for vendor deliveries
Answer: B) The minimum number of hotel rooms the planner must book or pay
for
Rationale: Attrition clauses specify a minimum number of guest rooms that must
be used or paid for, protecting the venue from loss if the planner’s actual
bookings are fewer.
4. Which is the best strategy to ensure effective communication with
international attendees?
A) Provide printed materials in the local language only
B) Use multiple channels like email, apps, and multilingual staff support
, C) Assume attendees understand English as the business language
D) Avoid cultural differences to maintain simplicity
Answer: B) Use multiple channels like email, apps, and multilingual staff support
Rationale: Effective communication considers language barriers and cultural
nuances, using diverse communication tools to ensure inclusivity.
5. When planning an event, what is a “contingency plan”?
A) A backup plan to address potential problems or emergencies
B) The initial schedule of activities
C) The main event marketing strategy
D) The contract signed with the venue
Answer: A) A backup plan to address potential problems or emergencies
Rationale: A contingency plan prepares for unexpected disruptions like weather,
technical issues, or supplier failures.
6. Which financial document provides an overview of projected revenues and
expenses for an event?
A) Balance sheet
B) Profit and loss statement (P&L)
C) Cash flow statement
D) Income tax return