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Upon completion of the HBX CORe program, students are eligible to take the HBX CORe Final Examination, which is a comprehensive test of the knowledge and skills gained throughout the program. CORe Exam is designed to assess students' understanding of the key concepts and principles covered in the program, as well as their ability to apply these concepts in real-world business situations.

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ISM Supply Management Core Exam Sample Questions (Q242-Q247):

NEW QUESTION # 242
A supply manager negotiates an agreement with a salesperson from the supplier's organization. With regard to signing the agreement, which of the following is MOST correct?

A. An authorized person from the buying firm and an authorized person from the supplier should sign the agreement.
B. The supply manager and the salesperson should sign the agreement.
C. The presidents of both the buying firm and the supplier should sign the agreement.
D. No signatures are required, as the deal was already agreed upon between the supply manager and the salesperson.

Answer: A

Explanation:
* Authorized Signatures: An agreement should be signed by authorized persons from both the buying firm and the supplier to ensure that the contract is legally binding.
* Authority Verification: The supply manager and the salesperson may negotiate the terms, but the signatures should come from individuals with the authority to bind their respective organizations legally.
* Risk Mitigation: This ensures that the agreement is enforceable and reduces the risk of any party later
* claiming that the agreement is invalid due to unauthorized signatures.
* Organizational Policy Compliance: This practice ensures compliance with organizational policies regarding contract signing authority.
References:
* ISM: "Contract Management and Negotiation Strategies"
* CIPS: "Legal Aspects of Procurement and Supply"

NEW QUESTION # 243
Which of the following graphs shows a negative relationship between the two variables?
A)

A. Option A
B. Option D
C. Option C
D. Option B

Answer: A

NEW QUESTION # 244
A student is deciding whether to attend a two-year graduate school program. The tuition is $12,500 per year and the cost of books and supplies is an additional $1,000 per year. The studentcould work instead of going to graduate school and earn $50,000 per year. What is the economic cost of attending graduate school for the student?

A. $127,000
B. $73,000
C. $27,000
D. $63,500

Answer: A

NEW QUESTION # 245
A supply manager identifies an overseas source for parts used by the organization. The supplier's capacity, performance, reputation and sample quality are all acceptable. During final price negotiations, the supplier requests that the contract be based on its local currency. Which of the following is the FIRST course of action the supply manager should take in order to address the possible impact of this request?

A. Perform exchange rate due diligence with the help of a financial advisor
B. Propose a limit on the range of fluctuations allowed
C. Re-focus the discussion on other issues before addressing the request
D. Reject the request based on the uncertainty of future pricing

Answer: A

Explanation:
When a supplier requests that the contract be based on its local currency, the first course of action for the supply manager is to assess the potential financial implications of this request. Exchange rate fluctuations can significantly impact the cost of goods and services over time. By performing exchange rate due diligence with the help of a financial advisor, the supply manager can understand the risks and potential cost variations. This involves analyzing historical exchange rate trends, forecasting future movements, and considering hedging strategies to mitigate risk. The supply manager can then make an informed decision on how to proceed with the supplier's request. References:
* Monczka, R. M., Handfield, R. B., Giunipero, L. C., & Patterson, J. L. (2015). Purchasing and Supply Chain Management. Cengage Learning.
* Supply Chain Management Review articles on currency risk management

NEW QUESTION # 246
DEF, Inc. is a multinational oil company expanding into a new geographic region. The firm's policy is to purchase locally for its operations whenever possible. Thus, DEF needs to find sources of materials, basic equipment, and standard bulk items within the new region. Given this situation, which of the following is the BEST way for DEF to proceed?

A. Issue a Request for Information (RFI) followed by a purchase order
B. Hold a supplier conference followed by a Request for Information (RFI)
C. Hold a supplier conference followed by a Request for Quotation (RFQ)
D. Issue a Request for Information (RFI) followed by a Request for Quotation (RFQ)

Answer: B

NEW QUESTION # 247
......

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