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The CPCM Certification holders exhibit a high professional and ethical standard, providing exceptional value in their respective organizations. They are also known for their proficiency in contract management, proficient handling of legal, regulatory, and general management skills. Moreover, they can lead an entire team involved in contracts management, including government contracts, civilian contracts, and international contracts.

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NCMA CPCM examination covers three domains of contracts management, i.e., Business Principles, Procurement Principles, and Contract Principles. The Business Principles domain covers organization and management, finance and budgets, and organizational risk management. The Procurement Principles domain covers procurement planning, acquisition planning and strategy, contract formation, and contract administration. And, lastly, the Contract Principles domain includes the contract performance and closeout assessment.

NCMA Certified Professional Contracts Manager Sample Questions (Q106-Q111):

NEW QUESTION # 106
Procurement planning, solicitation planning, and source selection are all phases of Garrett's contract management model for:

Answer: B

Explanation:
Explanation


NEW QUESTION # 107
The concept of deferring to the law of another jurisdiction that has a greater connection to the case is called:

Answer: A


NEW QUESTION # 108
The "current ratio" measures the ability of a firm to pay its short-term debts. If a company has current assets valued at $1,000,000 and current liabilities valued at $200,000, the current ratio is __________.

Answer: A

Explanation:
The correct answer is B (5) because the current ratio is calculated by dividing current assets by current liabilities . This ratio is a key financial metric used in the NCMA Contract Management Body of Knowledge (CMBOK) to evaluate an organization's short-term liquidity and financial health .
The formula is:
Current Ratio = Current Assets ÷ Current Liabilities
Substituting the given values:
$1,000,000 ÷ $200,000 = 5
A current ratio of 5 means the company has five times more current assets than current liabilities, indicating a strong ability to meet short-term obligations. This suggests good liquidity and low financial risk in the near term.
In contract management, understanding the current ratio is important when assessing the financial stability and responsibility of contractors or suppliers . A higher ratio generally indicates a stronger financial position, though excessively high ratios may also suggest inefficient use of resources.
Option A ( 0.2 ) and Option C ( 0.5 ) incorrectly invert or miscalculate the ratio. Option D ( 2 ) would be correct only if liabilities were $500,000, which is not the case here.
CMBOK emphasizes financial analysis as part of management competencies, enabling contract managers to make informed decisions, mitigate risk, and ensure that contracting parties can fulfill their obligations effectively.


NEW QUESTION # 109
In which activity of Contract Management Process, if the input is proposal and by using weighting system as a tool the output will be contract?

Answer: D


NEW QUESTION # 110
Which of the following is an example of internal market research?

Answer: B

Explanation:
The correct answer is D because, under NCMA CMBOK guidance, internal market research refers to the process of gathering and analyzing information within the organization to support acquisition planning and decision-making. This includes leveraging internal knowledge, historical data, lessons learned, and communication among organizational stakeholders such as program managers, contracting officers, and technical experts.
Option D -sharing information on contracting issues and trends with other managers-clearly reflects an internal activity , where insights and experiences are exchanged within the organization to improve procurement strategies and outcomes. This aligns with CMBOK's emphasis on collaboration and knowledge- sharing as key components of effective pre-award planning.
Option A is an example of external market research , as it involves reaching out to outside entities (customers of potential suppliers) to gather past performance data. Option B relates to cost analysis and budgeting rather than market research. Option C describes requirements definition, which is part of acquisition planning but not market research itself.
CMBOK highlights that both internal and external market research are essential, but internal research specifically focuses on organizational intelligence , enabling better-informed decisions, reducing risk, and improving alignment between requirements and acquisition strategies during the pre-award phase.


NEW QUESTION # 111
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