CPPB Exam Prep With 100% Correct
Answers 2023
What does the procurement policy of an entity reflects? - Correct Answer--The entity's
legal system
-The goals and values of the entity
-Policies and practices federal-level entities use to acquire goods and services; this may
not apply to state or local entities
What should the overall purpose of a procurement policy manual be? - Correct Answer--
Establish the legal authority of the procurement function within the entity.
-Simplify, clarify, and reflect the laws governing procurement
-Enable uniform procurement policies throughout the entity
-Build public confidence in public procurement
-Ensure the fair and equitable treatment of everyone who deals with the procurement
system
-Provide for increased efficiency, economy, and flexibility in public procurement
activities and maximize to the fullest extent the purchasing power of the entity
-Foster effective broad-based competition from all segments of the supplier community
-Safeguard the integrity of the procurement system and protect against corruption,
waste, fraud and abuse
-Ensure appropriate public access to contracting information
-Foster equal employment opportunities that are in line with legal requirements, in the
policies and practices of suppliers and subcontractors wishing to do business with the
entity
What should policy and procedure manuals be? - Correct Answer-They must be well
organized and should contain a clear definition of the purpose of each manual and its
intended use.
What must be done to ensure proper organizational impact with a policy and procedure
manual? - Correct Answer-The Chief Executive Officer of the entity should endorse
each manual and the manuals should be produced in a manner that facilitates revision
as changes will surely happen through new legislation and increased efficiencies in
processes.
What are two examples of policies that represent entity objectives? - Correct Answer--a
set-aside/goal that allows an established percentage of the business conducted with an
entity to be excluded from the general competitive pool and purchased from a
specialized class of business
-a policy that encourages and promotes a recycling program which includes procuring
recycled goods
,What must Procurement professionals involved in the establishment of policy manuals
be? - Correct Answer--be responsive and adaptive to their environments
-act in the best interest of the entity
-be well-informed about the information associated with regulations
-provide the support to perform functions within established procurement policies and
procedures
How are procedure manuals written? - Correct Answer-They are written at a finer level
of detail that sets out processes, forms and steps.
Who primarily uses procedure manuals? - Correct Answer-They are primarily used by
the end user and procurement staff, the procedures manual provides guidelines and
steps for preparing purchasing requisitions, developing specifications, receiving and
inspection, and reporting and documenting supplier performance.
What do procedure manuals detail? - Correct Answer-They detail the business
processes of Procurement and describe the entity, duties of staff, signing authorities,
procedures to be followed, and forms and filing systems to be used.
What is a supplier manual? - Correct Answer-A supplier manual provides formal and
extensive information for suppliers seeking to do business with the entity.
What should a supplier manual include? - Correct Answer--general information about
the entity
-key contacts and telephone numbers
-how the solicitation process is conducted
-how to receive an opportunity to participate in entity solicitations
-a description of the need to be both a responsive and responsible supplier
-how are are to be submitted, public openings of offers, and the policy regarding late
submissions
What are the characteristics of a supplier manual? - Correct Answer--well organized,
clear and easy to understand
-clear definition of the purpose and a consistent approach to decision making
-framework for training
-flexible
-endorsed by the entity's Chief Executive Officer
-supplier outreach information
-transparent
-facilitate revision
Is Governmental power inherent? - Correct Answer-Yes, they are inherent powers that
are granted by a constitution, charter or act.
Does a government official have inherent power? - Correct Answer-No, for purposes of
public procurement, there must be a specific authorization from officials in the executive
,branch of government to enter into contracts. Without that authority, the officials may
not do so. The existence of such authority is the foundation of any public procurement
system.
Who passes laws and/or ordinances to generally define the scope of authority and
identifies who may exercise that authority? - Correct Answer-Legislative bodies.
What are the most effective procurement statutes and ordinances? - Correct Answer-
Those that establish the general parameters of an official's contracting or procurement
authority and authorize that official to promulgate rules, regulations or policies to
implement it.
Is Government procurement restricted to activities that are authorized by law? - Correct
Answer-Yes, the authority of the central procurement department is limited by what has
been included in the enabling legislation.
How is the private sector restricted in procurement? - Correct Answer-They may do
whatever the law does not prohibit.
What does enabling legislation include? - Correct Answer--constitutions
-statutes
-ordinances and charters
-rules and regulations
-policy
-procurement procedures
What are the three primary sources of procurement laws in any entity? - Correct
Answer--Statutory Laws
-Administrative Laws
-Common Law
What are Statutory Laws? - Correct Answer-These include constitutions, statutes,
ordinances and charters. Statutory Laws are based on statutes or laws passed by
governments. State or provincial statutes provide state/provincial-directed legislative
law. Ordinances and charters provide for local and municipal governments.
What are Administrative Laws? - Correct Answer-These are written rules and
regulations and entity policy (developed and promulgated by administrative and
regulatory governmental agencies). Administrative Law, provided by the applicable
regulatory entity, has equal force and effect as legislative law as long as it does not
supersede the context of legislative law.
What is Common Law? - Correct Answer-These are based on customs and traditions
and codified through the legal system. Common Law is based on custom and usage or
confirmed by court decisions, i.e., a collection of court decisions. Access to published
judicial decisions is available through volumes called "reporters" in major law libraries.
, What social and economic problems have policy makers enacted because of the
magnitude of state and local government spending which require contractors to do
what? - Correct Answer--maintain fair employee practices
-provide safe and healthy working conditions
-pay fair wages
-refrain from polluting the air and waters
-give preference to contractors from the same state/province or locality
-award to small or women owned businesses
-promote the rehabilitation of prisoners and the disabled
What other laws are applicable to public procurement? - Correct Answer--Criminal Law
-Tort Law
-Budget/Finance Laws
Define Criminal Law - Correct Answer-Imposes punishment such as imprisonment or
fines for an act deemed to be criminal
Define tort law - Correct Answer-Permits parties to sue each other for damage to a
person or property.
Define Budget/Finance Laws - Correct Answer-These laws prohibit an entity from
spending funds beyond those that the legislative body appropriates.
What is authority? - Correct Answer-The right to perform certain acts or prescribe rules
governing the conduct of others.
What is Law of Agency? - Correct Answer-The law of agency states that an agent is
someone who acts on behalf of a principal. A product of common law that focuses not
only on the creation of agent relationships but also the liability for losses suffered by
others who deal with agents.
What are the two ways an agency relationship by created? - Correct Answer--by
agreement between principal and agent or
-by law
What is a principal? - Correct Answer-A principal is one who employs an agent. A
person who authorized another to act for him/her.
What is an agent? - Correct Answer-An agent is a person authorized by a superior, i.e.,
principal, to act for him or her. Individuals who act on behalf of an entity, such as a
corporation, partnership, or any level of government as that entity conducts business. In
public procurement, this designation is usually incorporated into statute and ordinance.
What is express authority? - Correct Answer-Express authority is the authority that is
explicitly given in direct language rather than inferred from conduct. It can be in writing
Answers 2023
What does the procurement policy of an entity reflects? - Correct Answer--The entity's
legal system
-The goals and values of the entity
-Policies and practices federal-level entities use to acquire goods and services; this may
not apply to state or local entities
What should the overall purpose of a procurement policy manual be? - Correct Answer--
Establish the legal authority of the procurement function within the entity.
-Simplify, clarify, and reflect the laws governing procurement
-Enable uniform procurement policies throughout the entity
-Build public confidence in public procurement
-Ensure the fair and equitable treatment of everyone who deals with the procurement
system
-Provide for increased efficiency, economy, and flexibility in public procurement
activities and maximize to the fullest extent the purchasing power of the entity
-Foster effective broad-based competition from all segments of the supplier community
-Safeguard the integrity of the procurement system and protect against corruption,
waste, fraud and abuse
-Ensure appropriate public access to contracting information
-Foster equal employment opportunities that are in line with legal requirements, in the
policies and practices of suppliers and subcontractors wishing to do business with the
entity
What should policy and procedure manuals be? - Correct Answer-They must be well
organized and should contain a clear definition of the purpose of each manual and its
intended use.
What must be done to ensure proper organizational impact with a policy and procedure
manual? - Correct Answer-The Chief Executive Officer of the entity should endorse
each manual and the manuals should be produced in a manner that facilitates revision
as changes will surely happen through new legislation and increased efficiencies in
processes.
What are two examples of policies that represent entity objectives? - Correct Answer--a
set-aside/goal that allows an established percentage of the business conducted with an
entity to be excluded from the general competitive pool and purchased from a
specialized class of business
-a policy that encourages and promotes a recycling program which includes procuring
recycled goods
,What must Procurement professionals involved in the establishment of policy manuals
be? - Correct Answer--be responsive and adaptive to their environments
-act in the best interest of the entity
-be well-informed about the information associated with regulations
-provide the support to perform functions within established procurement policies and
procedures
How are procedure manuals written? - Correct Answer-They are written at a finer level
of detail that sets out processes, forms and steps.
Who primarily uses procedure manuals? - Correct Answer-They are primarily used by
the end user and procurement staff, the procedures manual provides guidelines and
steps for preparing purchasing requisitions, developing specifications, receiving and
inspection, and reporting and documenting supplier performance.
What do procedure manuals detail? - Correct Answer-They detail the business
processes of Procurement and describe the entity, duties of staff, signing authorities,
procedures to be followed, and forms and filing systems to be used.
What is a supplier manual? - Correct Answer-A supplier manual provides formal and
extensive information for suppliers seeking to do business with the entity.
What should a supplier manual include? - Correct Answer--general information about
the entity
-key contacts and telephone numbers
-how the solicitation process is conducted
-how to receive an opportunity to participate in entity solicitations
-a description of the need to be both a responsive and responsible supplier
-how are are to be submitted, public openings of offers, and the policy regarding late
submissions
What are the characteristics of a supplier manual? - Correct Answer--well organized,
clear and easy to understand
-clear definition of the purpose and a consistent approach to decision making
-framework for training
-flexible
-endorsed by the entity's Chief Executive Officer
-supplier outreach information
-transparent
-facilitate revision
Is Governmental power inherent? - Correct Answer-Yes, they are inherent powers that
are granted by a constitution, charter or act.
Does a government official have inherent power? - Correct Answer-No, for purposes of
public procurement, there must be a specific authorization from officials in the executive
,branch of government to enter into contracts. Without that authority, the officials may
not do so. The existence of such authority is the foundation of any public procurement
system.
Who passes laws and/or ordinances to generally define the scope of authority and
identifies who may exercise that authority? - Correct Answer-Legislative bodies.
What are the most effective procurement statutes and ordinances? - Correct Answer-
Those that establish the general parameters of an official's contracting or procurement
authority and authorize that official to promulgate rules, regulations or policies to
implement it.
Is Government procurement restricted to activities that are authorized by law? - Correct
Answer-Yes, the authority of the central procurement department is limited by what has
been included in the enabling legislation.
How is the private sector restricted in procurement? - Correct Answer-They may do
whatever the law does not prohibit.
What does enabling legislation include? - Correct Answer--constitutions
-statutes
-ordinances and charters
-rules and regulations
-policy
-procurement procedures
What are the three primary sources of procurement laws in any entity? - Correct
Answer--Statutory Laws
-Administrative Laws
-Common Law
What are Statutory Laws? - Correct Answer-These include constitutions, statutes,
ordinances and charters. Statutory Laws are based on statutes or laws passed by
governments. State or provincial statutes provide state/provincial-directed legislative
law. Ordinances and charters provide for local and municipal governments.
What are Administrative Laws? - Correct Answer-These are written rules and
regulations and entity policy (developed and promulgated by administrative and
regulatory governmental agencies). Administrative Law, provided by the applicable
regulatory entity, has equal force and effect as legislative law as long as it does not
supersede the context of legislative law.
What is Common Law? - Correct Answer-These are based on customs and traditions
and codified through the legal system. Common Law is based on custom and usage or
confirmed by court decisions, i.e., a collection of court decisions. Access to published
judicial decisions is available through volumes called "reporters" in major law libraries.
, What social and economic problems have policy makers enacted because of the
magnitude of state and local government spending which require contractors to do
what? - Correct Answer--maintain fair employee practices
-provide safe and healthy working conditions
-pay fair wages
-refrain from polluting the air and waters
-give preference to contractors from the same state/province or locality
-award to small or women owned businesses
-promote the rehabilitation of prisoners and the disabled
What other laws are applicable to public procurement? - Correct Answer--Criminal Law
-Tort Law
-Budget/Finance Laws
Define Criminal Law - Correct Answer-Imposes punishment such as imprisonment or
fines for an act deemed to be criminal
Define tort law - Correct Answer-Permits parties to sue each other for damage to a
person or property.
Define Budget/Finance Laws - Correct Answer-These laws prohibit an entity from
spending funds beyond those that the legislative body appropriates.
What is authority? - Correct Answer-The right to perform certain acts or prescribe rules
governing the conduct of others.
What is Law of Agency? - Correct Answer-The law of agency states that an agent is
someone who acts on behalf of a principal. A product of common law that focuses not
only on the creation of agent relationships but also the liability for losses suffered by
others who deal with agents.
What are the two ways an agency relationship by created? - Correct Answer--by
agreement between principal and agent or
-by law
What is a principal? - Correct Answer-A principal is one who employs an agent. A
person who authorized another to act for him/her.
What is an agent? - Correct Answer-An agent is a person authorized by a superior, i.e.,
principal, to act for him or her. Individuals who act on behalf of an entity, such as a
corporation, partnership, or any level of government as that entity conducts business. In
public procurement, this designation is usually incorporated into statute and ordinance.
What is express authority? - Correct Answer-Express authority is the authority that is
explicitly given in direct language rather than inferred from conduct. It can be in writing
