CAFM Business and Information Management 2

Question 1

A fleet manager wants to benchmark fuel costs against industry peers. Which data source is most appropriate for obtaining national fleet fuel cost benchmarks?

Accepted Answer

NPTC or NAFA fleet benchmarking surveys

Answer

NAFA and NPTC publish industry benchmarking surveys that allow fleet managers to compare their fuel costs against national averages.

Question 2

Which financial metric measures how efficiently a fleet generates revenue relative to its total asset value?

Accepted Answer

Return on assets (ROA)

Answer

Return on assets (ROA) measures how efficiently a company uses its assets to generate profit, making it relevant for evaluating fleet investments.

Question 3

A fleet information system should integrate with which back-office system to automate accounts payable for repair invoices?

Accepted Answer

ERP or financial management system

Answer

Integrating the fleet management system with an ERP or financial management system automates accounts payable workflows for repair invoices.

Question 4

When preparing a fleet budget, which cost category is typically classified as a fixed cost?

Accepted Answer

Vehicle depreciation

Answer

Vehicle depreciation is a fixed cost because it occurs regardless of mileage driven, while fuel, tires, and tolls vary with usage.

Question 5

A fleet manager receives a vendor proposal with net-30 payment terms and a 2% early-pay discount. What is the annualized cost of NOT taking the discount?

Accepted Answer

Approximately 36%

Answer

Forgoing a 2/10 net-30 discount costs approximately 36% annualized, calculated using the formula: (discount % / (1 - discount %)) × (365 / days past discount period).

CAFM - Certified Automotive Fleet Manager Practice Test

CAFM - Certified Automotive Fleet Manager Practice Test

CAFM Business and Information Management 2