FREE CSCP MCQ Questions and Answers Flashcards

Which Incoterms 2020 rule places the maximum obligation on the seller, including import duties?

Answer: DDP

Under Delivered Duty Paid, the seller bears all costs and risks to the named destination, including import clearance.

A firm evaluates suppliers by considering purchase price plus quality, logistics, maintenance, and disposal costs. What approach is this?

Answer: Total cost of ownership

Total cost of ownership captures all costs of acquiring, using, and disposing of an item, not just price.

In a risk management process, what step follows risk identification?

Answer: Risk assessment of probability and impact

Identified risks are assessed for likelihood and impact before responses are chosen.

Buying insurance against cargo loss is an example of which risk response?

Answer: Transfer

Insurance shifts the financial consequence of the risk to a third party.

Which Kraljic matrix quadrant contains items with high profit impact and high supply risk?

Answer: Strategic items

Strategic items warrant long-term partnerships because they are both critical and hard to source.

The triple bottom line framework evaluates performance on which three dimensions?

Answer: People, planet, and profit

The triple bottom line adds social and environmental performance to financial results.

Which logistics practice moves inbound goods directly to outbound vehicles with little or no storage?

Answer: Cross-docking

Cross-docking minimizes warehousing by transferring products straight from receiving to shipping docks.