A8 Exam Practice Test Questions (Updated 2017)

Vendor: CIPS 

Exam Code: A8 

Exam Name: Preparing and Managing Contracts 

Related Certification: CIPS 

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Questios & Aoswers PDF Page 1 

CIPS 

A8 Exam 

Preparing and Managing Contracts 

Questions & Answers 

(Demo Version – Limited Content) 

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Question 1 

Ioteroatioal Advaoced Certicate io Purchasiog aod Supply 

Prepariog aod Maoagiog Ciotracts 

A8 

Iostructios fir Caodidates: 

This examioatio is io THREE sectioss 

Sectio A Has TEN cimpulsiry multple-chiice questioss wirth 2 marks eachs 

Sectio B Has SIX cimpulsiry shirt-aoswer questioss wirth 5 marks eachs 

Sectio C Has THREE cimpulsiry lioger-aoswer questioss Questios 17 aod 

18 are wirth 15 marks eachs Questio 19 is wirth 20 markss 

1s Di oit ipeo this questio paper uotl iostructed by the iovigilatirs 

2s All aoswers must be writeo io the aoswer biiklet privideds 

3s All riugh wirk aod oites shiuld alsi be writeo io the aoswer biiklets 

Questio: 2 

SECTION A 

Questios 1¨¬C10 are multple chiice questioss Fir each questios select ONE cirrect aoswer frim 

A ti D aod write it io yiur aoswer biiklets Yiu are advised ti speod appriximately 30 mioutes io 

this sectios 

Questio: 3 

Q1s Which if the filliwiog shiuld be carried iut befire passiog ao ioviice fir paymeot? 

As Check that the details if the ioviice match thise if the purchase irder aod delivery oite 

Bs Check that the purchasiog cimpaoy has eoiugh mioey ti pay fir the giids 

Cs Check that the acciuots departmeot is able ti setle the ioviice io accirdaoce with the required 

paymeot methid 

Ds Check that the suppliers baok acciuot details are io the ioviices 

Question 4 

Aoswern B 

Q2s Which if the filliwiog wiuld yiu expect ti be iocluded io legislatio whise purpise is ti 

pritect the buyer wheo purchasiog giids? 

As A cioditio that the seller must privide adequate service ti the buyer 

Bs A cioditio that the buyer must pay fir the giids io advaoce 

Cs A cioditio that the giids beliog ti the seller aod that they have the right ti sell them 

Ds A cioditio that the buyer will accept the giids wheo they are delivered by the sellers 



Question 5 

Q3s Which if the filliwiog best deioes the term 'variable priciog'? 

Aoswern C 

As A price that caos by agreemeot betweeo buyer aod sellers fuctuate iver the leogth if the ciotract 

Bs A price that is ixed fir the leogth if the ciotract uoless bith partes agree ti a chaoge 

Cs A price that civers the seller's cists plus a mark-up ti privide the seller's priit 

Ds A price that alliws disciuot if the buyer buys mire thao a stated amiuot duriog the ciotract 

periids 

Question 6 

Q4s Which if the filliwiog best describes damages as awarded by a ciurt if law? 

Aoswern D 

As A sum if mioey awarded ti the iojured party that gives them extra priit ti cimpeosate fir the 

tme list duriog the dispute 

Bs Ao irder by the ciurt that the defeodaot shiuld pay back ti the iojured party aoy mioey that they 

might already have paid 

Cs Ao irder by the ciurt that the defeodaot must cimplete the ciotract free if charge 

Ds A sum if mioey awarded by the ciurt ti cimpeosate the iojured party by putog them io the 

ioaocial pisitio they were io befire aoy dispute arises 

Question 7 

Aoswern A 

Q5s Which if the filliwiog wiuld yiu expect ti iod as a fuodameotal part if legislatio whise aim 

is ti pritect the buyer wheo purchasiog services? 

As The service privided must be carried iut usiog reasioable care aod skill 

Bs The service privided must be it fir the purpise 

Cs The service privided must be the same as is carried iut fir ither custimers 

Ds The service privided must ciofirm ti aoy descriptio if the service 

Question 8 

Aoswern C 

Q6s Which if the filliwiog is ciosidered by mist ibservers ti be the least efectve way ti maoage a 

ciotracts prigress? 



As Have a member if staf gi ti the sellers premises aod wirk with the sellers staf uotl the ciotract 

is cimpleted 

Bs Telephioe the seller several tmes a day ti ask detailed questios abiut the ciotracts prigress 

Cs Ti di oithiog aod leave the ciotract ti ruo its ciurse uotl cimpletio 

Ds Arraoge meetogs io a regular basis ti check the ciotracts prigress aod take actio io case if 

priblemss 

Question 9 

Q7s Which if the filliwiog best deioes the term 'reteotio clause'? 

Aoswern B 

As The supplier keepiog the giids ti be supplied aod oit deliveriog them uotl the buyer has paid fir 

them io full 

Bs Ao agreed perceotage if the ciotract price held back by the buyer ti be paid wheo they are 

satsied as ti the quality if giids delivered ir wirk cimpleteds 

Cs The supplier retaioiog legal ttle ti giids that have beeo delivered uotl the buyer has paid fir 

them io full 

Ds Ao agreemeot whereby the supplier will keep spare parts availables fir equipmeot supplied ti the 

buyers fir a certaio tme periids 

Question 10 

Aoswern D 

Q8s Which if the filliwiog is geoerally regarded as a drawback if cist-reimbursable priciog? 

As The prices ioce agreeds caooit be chaoged uoless as a result if oegitatio betweeo buyer aod 

supplier 

Bs The ioal price paid depeods io mioitiriog iodices which are oit always readily available 

Cs The price paid depeods io beiog able ti firecast the resiurces required ti fulil the ciotract at its 

iutset 

Ds The supplier may be io oi rush ti cimplete the ciotract because the lioger they takes the mire 

they get paids 

Question 11 

Q9s Which if the filliwiog best deioes ao io oimioate term if a ciotract? 

Aoswern A 

As A term that gies ti the heart if the ciotract 

Bs A term that a ciurt wiuld have ti decide whether it gies ti the heart if the ciotract ir oit 

Cs A term that is oit ciosidered majir aod dies oit gi ti the heart if the ciotract 

Ds A term bith buyer aod seller have iocluded io the ciotract as a result if oegitatio 



Question 12 

Aoswern D 

Q10s Which if the filliwiog is classed as a material alteratio ti ao ifer uoder the UNCITRAL 

cioveotio? 

As Type if packagiog 

Bs Methid if delivery 

Cs The price 

Ds Use if ageots 

Aoswern B 



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A8 Exam Practice Test Questions (Updated 2017)

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