NASPO CPPB
Prep Exam
Complete 100 Questions with Verified
Answers
Implied authority occurs when?
a) Inferences and reasonable deductions based on conduct are made.
b) Explicit language grants authority;
c) Codified language is used to delegate responsibility and authority to a given
party;
d) The illusion of authority is allowed
ANSWER: a) Inferences and reasonable deductions based on conduct are made.
Apparent authority occurs when?
a) An individual functions in the capacity that leads others to believe he/she is an
authorized agent of the principle.
b) Explicit language grants authority.
c) A logical extension of expression authority conferred upon a given party.
d) Codified language delegating responsibility and authority to a given party.
ANSWER: a) An individual functions in the capacity that leads others to believe
he/she is an authorized agent of the principle.
In 1890, Congress passed this Antitrust Act. It has been the linchpin of antitrust
law. In Section 1 of this Act, it states: Every contract, combination in the form of
trust or otherwise, or conspiracy, in restraint of trade or commerce among the
several States, or with foreign nations, is declared to be illegal. Every person who
, Page |2
shall make any contract or engage in any combination or conspiracy hereby
declared to be illegal shall be deemed guilty of a felony, and, on conviction
thereof, shall be punished by fine not exceeding $100,000,000 if a corp., or, if any
person, $1,000,000, or by imprisonment not exceeding 10 years, or by both said
punishments, in the discretion of the court. Section 2 of this Act, makes interstate
monopolies a felony. This Act is:
a) The Clayton Act
b) The Federal Trade Commission Act
c) The Sherman Act
d) The Robinson-Patman Price Discrimination Act
ANSWER: c) The Sherman Act
The procurement officer has noticed several suspicious pricing patterns and
supplier behaviors, including identical bids and a lack of bids from some expected
bidders for an open solicitation. On detecting this suspicous activity, the
procurement officer should immediately:
a) alert all suppliers that the solicitation will be canceled and resolicited
b) alert their superiors and the antitrust lawyers in the state attorney general's office
c) alert the suppliers in question about potential violations
d) alert the DOJ about potential antitrust violations
ANSWER: b) alert their superiors and the antitrust lawyers in the state attorney
general's office
Which of the following procurement laws are not considered one of the primary
sources used in governmental jurisdictions?
a) Administrative Law
, Page |3
d) Federal Law
c) Common Law
d) Legislative Law
ANSWER: d) Federal Law
Socioeconomic goals, such as "set-asides", can come with a variety of benefits;
however, there are also challenges associated with the use of "set-asides". These
challenges may include which of the following:
a) Lack of supply management training;
b) Reduced open competition;
c) Decreased pricing.
d) Prejudicial attitudes;
ANSWER: b) Reduced open competition;
The Federal Trade Commission (FTC) states an environmental marketing claim
should do all of the following except:
a) Have qualifications and disclosures that are clear enough to prevent deception.
b) Include a statement that makes the basis of comparison clear so that the
consumer should be able to understand the claim.
c) Not overstate the environmental attribute or benefit, expressly or by implication.
d) Include eco-labels issued by an independent third party.
ANSWER: d) Include eco-labels issued by an independent third party.
Upon review of an offeror's claim that certain information in the offeror's proposal
should be kept confidential, the procurement officer disagrees with that claim. The
procurement officer should:
, Page |4
a) Advise the offeror that the information will be kept confidential until an open
records request is received and determine confidentiality based on the content of
that request.
b) Advise the offeror that the information will be kept confidential until an open
records request is received and determine confidentiality based on the content of
that request.
c) Advise the offeror and give it the opportunity to explain why it believes the
information is proprietary.
d) Deny the request for confidentiality.
ANSWER: c) Advise the offeror and give it the opportunity to explain why it
believes the information is proprietary.
The legislature of the buyer's jurisdiction just passed a law encouraging all
governmental procurement to maximize the use of disadvantaged businesses in the
procurement process. What strategy could the buyer employ on their solicitation to
help meet this goal without sacrificing competition?
a) Require offerors to use a certain percentage of disadvantaged businesses as
subcontractors
b) Award additional points to disadvantaged businesses
c) Place a special advertisement of the opportunity in a disadvantaged audience
business publication
d) Create a set-aside for disadvantaged businesses
ANSWER: c) Place a special advertisement of the opportunity in a disadvantaged
audience business publication
Completing a Procurement Profile is beneficial because:
a) It adds decision making intelligence to spend analysis.