CEH Purchasing and Procurement 3

Question 1

Which purchasing practice helps prevent vendor collusion and ensures fair pricing?

Accepted Answer

Rotating approved vendors and requiring periodic competitive bids

Answer

Rotating vendors and requiring periodic re-bidding prevents any single supplier from becoming complacent and ensures the property continues to receive competitive market pricing.

Question 2

A 'credit memo' from a vendor is issued when:

Accepted Answer

Goods are returned, short-shipped, or an invoice error is corrected in the buyer's favor

Answer

A credit memo reduces the amount owed to a vendor, typically issued when goods are returned, damaged, or when an overcharge on an invoice needs to be corrected.

Question 3

What is the purpose of an 'approved vendor list' (AVL) in housekeeping procurement?

Accepted Answer

To pre-qualify and document suppliers who meet the property's standards for quality, reliability, and compliance

Answer

An approved vendor list ensures staff only purchase from pre-vetted suppliers who have met quality, safety, and business standards, reducing procurement risk.

Question 4

When comparing total cost of ownership (TCO) for a piece of housekeeping equipment, which costs should be included?

Accepted Answer

Purchase price, maintenance, operating costs, and expected lifespan

Answer

Total cost of ownership encompasses all costs over a product's life — purchase, maintenance, energy, repairs, and replacement — giving a more accurate comparison than purchase price alone.

Question 5

Which best practice helps an executive housekeeper prevent inventory theft and unauthorized use of supplies?

Accepted Answer

Implementing a controlled storeroom with access logs and periodic physical counts

Answer

Controlled storeroom access with usage logs and physical counts creates accountability, deters theft, and identifies discrepancies between recorded and actual inventory levels.

(CEH) Certified Executive Housekeeper Practice Test

(CEH) Certified Executive Housekeeper Practice Test

CEH Purchasing and Procurement 3