CPPB TEST 2 questions with correct answers

Fixed-Price Escalation/De-escalation - Correct Answer-The procurement officer of the governmental agency has expressed serious concerns about the number of repetitive requisitions, solicitations and purchase orders that are being processed to purchase gasoline for the organization. Every time a new order is placed, another requisition is created and the prices paid by each department are not consistent; sometimes more and sometimes less depending on competition and timing. The buyer advises that the solution would be to use what type of contract? Instituting a purchasing card program - Correct Answer-A governmental agency with a centralized procurement department has a threshold for small purchases of $1000 and three quotes are required above that figure. There has been a steady increase in the number of requisitions along with recent complaints from internal customers about it taking too long to buy what they need. Which of the following actions is most likely to have the biggest impact on reducing costs and saving time in the long run? Address with on-site supervisor/contractor - Correct Answer-A governmental agency has been having problems with a supplier's performance and ma terminate their contract with the supplier. Which of the following would be the best first step in addressing the issue with the supplier? Line Item Budget - Correct Answer-An agency uses a budget in which appropriations are approved for different classes of expenditures. Each class is broken into sub-classes against which funding for services and commodities can be applied. This budget approach maximizes control and ensures financial accountability. What type of budget is this?