Supply Management Core Exam exam collection，CORe actual test

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ISM Supply Management Core Exam Sample Questions (Q122-Q127):

NEW QUESTION # 122
A researcher wants to know the impact that obesity and universal health care have on the amount a country spends on healthcare as measured by the percentage of gross domestic product (GDP). The researcher collects data from 30 countries on the percentage of the population considered to be obese and whether that country offers universal health care to their citizens. A dummy variable is constructed to measure the latter: the variable is set to equal 1 for countries that offer universal health care and 0 for those that do not. The researcher wishes to set up a regression analysis to measure the effects these two variables have on health care spending. A partial view of the data is shown below.

Based on the available data, what ranges should be entered into the Excel regression dialog box for the dependent and independent variables?

A. Dependent Variable. B1:C31; Independent Variable. D1:D31
B. Dependent Variable. C1:D31; Independent Variable. B1:B31
C. Dependent Variable. B1:B31; Independent Variable. C1:D31
D. Dependent Variable. A1:A31; Independent Variable. B1:C31

Answer: C

NEW QUESTION # 123
Which of the following methods for valuing and expensing inventory is NOT allowed under the International Financial Reporting Standards (IFRS)?

A. Weighted Average
B. Standard Cost
C. First In First Out (FIFO)
D. Last In First Out (LIFO)

Answer: D

NEW QUESTION # 124
The use of procurement cards to simplify purchases of low cost/low complexity items is BEST suited for which of the following categories of spend?

A. Critical
B. Strategic
C. Tactical
D. Leverage

Answer: C

Explanation:
The use of procurement cards is best suited for tactical spend, which involves low cost/low complexity items.
These items do not require extensive procurement processes and can be efficiently managed through procurement cards, simplifying the purchase and payment processes. Leverage, critical, and strategic spend categories typically involve more complex and higher-value transactions that require more thorough procurement procedures. References: Procurement best practices, procurement card program guidelines.

NEW QUESTION # 125
With which group of suppliers is It MOST important to conduct regular performance reviews?

A. Key
B. Standard
C. Commodity
D. Strategic

Answer: D

Explanation:
Regular performance reviews are crucial for suppliers that have a significant impact on the organization:
* Standard: These suppliers typically provide routine products or services, and while performance reviews are important, they may not be the most critical.
* Key: Key suppliers are important, but they are usually not as critical as strategic suppliers.
* Strategic: Strategic suppliers provide goods or services that are vital to the organization's long-term success, requiring regular performance reviews to ensure alignment and continuous improvement.
* Commodity: Commodity suppliers provide widely available products, making performance reviews less critical compared to strategic suppliers.
Therefore, it is most important to conduct regular performance reviews with strategic suppliers.
References:
* Strategic supply chain management literature.
* Best practices in supplier performance management.

NEW QUESTION # 126
A supply manager for FGH, Inc. places a purchase order for 10 widgets with a supplier. The supplier ships 10 widgets and invoices for 10 widgets, and the end user receives 10 widgets. However, the procure to pay system shows receipt of 8 widgets. The supplier demands to be paid the full amount. Responsibility for resolving this issue will fall to FGH's

A. receiving department
B. senior management
C. accounts payable department
D. supply manager

Answer: D

Explanation:
The supply manager is responsible for resolving discrepancies in the procure-to-pay process. This includes ensuring that the quantities received match the quantities ordered and invoiced. While the receiving department records the receipt of goods, the supply manager must coordinate with accounts payable and the supplier to investigate and resolve any issues such as incorrect system entries or shipment discrepancies.
References: Best practices in procurement and supply management, and standard operating procedures in procure-to-pay processes.

NEW QUESTION # 127
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