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Question 68

A supply manager ensures that each stage of the negotiation process is documented, beginning with the preparations for the negotiation. What is the PRIMARY purpose of maintaining such information?

Options:

To identify weaknesses in the supplier's position

To clarify specifications and performance expectations

To provide justification for any concessions made

To ensure team members have accurate data

Question 69

Smith agrees to work for Acme Company for 12 months on a time and materials contract, with right of termination for convenience. Under the terms of the contract, Smith's fee is payable quarterly. After six months, Smith provides notice of termination. Smith was only paid for the first three months of the contract, and Acme Company is withholding payment of the outstanding balance. If Smith files a lawsuit to recover damages, Smith is MOST likely to be compensated for which of the following types of damages?

Options:

Restitution

Incidental

Consequential

Punitive

Question 70

A supply manager for UVW, Inc. Is considering the use of lead division buying. Which of the following factors is MOST supportive of such efforts?

Options:

Each division needs products tailored to its own production.

There is ongoing involvement of the engineering department.

Several divisions use consistent quantities of the same item.

Deliveries must be coordinated with production schedules.

Question 71

XYZ, Inc. currently has a transactional relationship with suppliers, but would like to work strategically with them. The firm wants to initially focus attention on the most critical suppliers. To do this, they should FIRST reach out to