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The NCMA CPCM Exam is designed to test the candidate's understanding of various aspects of contract management, including acquisition planning, contract negotiation, contract administration, and contract closeout. CPCM exam is divided into two parts, each containing 110 multiple-choice questions. The first part covers general contract management topics, while the second part is more specific and covers topics such as procurement regulations and contract pricing.

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NCMA Certified Professional Contracts Manager Sample Questions (Q80-Q85):

NEW QUESTION # 80
Following an Invitation for bids, contract award is based upon __________.

Answer: C

Explanation:
The correct answer is D (price or price-related factors) because, under NCMA CMBOK principles and standard procurement practices, an Invitation for Bids (IFB) -also known as sealed bidding-results in contract award based primarily on price competition . In this method, bids are evaluated for responsiveness (compliance with the solicitation requirements) and responsibility (the bidder's capability to perform).
Among those that meet these criteria, award is made to the lowest-priced responsive and responsible bidder
.
CMBOK distinguishes IFB from negotiated procurement methods. IFB is used when requirements are clear, complete, and not subject to negotiation , making price the dominant evaluation factor. This ensures fairness, transparency, and objectivity in the award process, as all bidders compete on a common basis without discussions.
Option A is incorrect because technical scoring is typically associated with negotiated procurements, not sealed bidding. Option B is misleading, as while these elements may be specified in the solicitation, they are not the basis for comparative evaluation in IFB once responsiveness is established. Option C (best-value evaluation) applies to Request for Proposals (RFPs) , where trade-offs between cost and technical factors are considered.
Thus, CMBOK confirms that IFB awards are driven by price or price-related factors , reinforcing the structured and non-negotiable nature of sealed bidding.


NEW QUESTION # 81
The most expensive and labor-intensive phase in creating a disciplined program management organization is the:

Answer: B


NEW QUESTION # 82
__________ is the most important step in the negotiation process.

Answer: B

Explanation:
The correct answer is D (Preparation) because, according to NCMA Contract Management Body of Knowledge (CMBOK), preparation is the most critical step in the negotiation process . Effective preparation lays the foundation for successful negotiations by ensuring that the contract manager fully understands the requirements, objectives, risks, market conditions, and the other party's likely positions .
CMBOK emphasizes that preparation includes developing a negotiation plan , defining objectives and priorities , establishing a range of acceptable outcomes , and identifying trade-offs and concessions . It also involves gathering relevant data such as cost estimates, pricing benchmarks, technical requirements, and past performance information . Additionally, preparation includes understanding the negotiation strategy , such as whether to pursue a collaborative or competitive approach.
Option A (documentation) is important for recording agreements but occurs after or alongside negotiations.
Option B (collaboration) is a negotiation style, not a foundational step. Option C (forming the team) is part of preparation but not the most critical element itself.
CMBOK consistently highlights that inadequate preparation is one of the primary causes of poor negotiation outcomes. Thorough preparation enables contract managers to anticipate issues, respond effectively, and achieve favorable terms , ultimately reducing risk and improving contract performance during the award phase.


NEW QUESTION # 83
Scenario 4.0:
The buyer intended to change the pricing structure for a contract for garbage collection services at one of its facilities. Previously, the contract included contract line items priced on a "per-ton" basis, along with overhead line items covering the contractor's variable costs. The buyer intended to issue a solicitation that eliminated the overhead line items, thus requiring all costs to be included in a "price-per-ton" pricing method.
Prior to issuing a solicitation, the buyer conducted market research to determine whether it was customary industry practice to price garbage collection services based on the weight of the garbage collected. This market research included three parts:
* Reviewing refuse contracts at three other locations;
* Posting a notice to potential sellers asking for feedback on the proposed structure, to which the buyer received seven responses-four of which suggested a monthly line-item structure, which would include variable costs and not be on a "per-ton" basis, since these four respondents indicated that a "per-ton" pricing structure was not a "customary commercial practice," and three had no comment about the line-item structure; and
* Obtaining "historical market research" that had been performed during the previous year by personnel at another buyer location, consisting of talking to a sales representative from a waste removal company who indicated that his company used a "per-ton" pricing structure that was a "practical method of pricing for trash removal services." Following this market research, the buyer determined that it was "in the buyer's best interest" to utilize the
"per-ton" approach and that it was a "customary commercial practice."
A solicitation was issued requiring offerors to submit fixed prices on a per-ton basis for several line items, for which the solicitation provided estimated quantities. The buyer removed the line items for overhead costs that had been present in the prior contract for waste removal. Instead, the new solicitation required offerors to submit prices that reflected "all fixed and variable costs" on a per-ton basis and only permitted the seller "to invoice on tonnage collected." The resulting statement of work indicated that the seller was required to provide all items necessary to perform the required services, including personnel, equipment, supplies, facilities, materials, and supervision.
Question:
In this situation, which of the following activities could have helped the buyer improve its solicitation and avoid controversy?

Answer: A

Explanation:
The correct answer is D because, according to NCMA CMBOK, effective pre-award practices include the use of validation techniques to ensure that solicitation requirements are clear, appropriate, and aligned with market conditions before final issuance. These techniques include pre-solicitation notices, industry days, one-on-one communications (where appropriate), and draft solicitations (draft RFPs) .
In this scenario, the buyer faced conflicting market research results regarding whether "per-ton" pricing was a customary commercial practice. By using validation techniques, the buyer could have engaged industry more effectively , clarified expectations, and tested the proposed pricing structure before finalizing the solicitation. A draft RFP, for example, would have allowed potential offerors to provide structured feedback, reducing ambiguity and minimizing the risk of ###### or misunderstanding.
Option A (modular contracting) is unrelated, as it applies primarily to breaking large projects into smaller components. Option B (debriefings) occurs after award and would not prevent pre-award controversy. Option C (clearer SOW) is beneficial but does not directly address the core issue of validating pricing structure and commercial practices.
CMBOK emphasizes that proactive industry engagement and validation improve competition, transparency, and alignment with commercial practices , ultimately leading to better acquisition outcomes and reduced risk of disputes or unsuccessful procurements.


NEW QUESTION # 84
The range between the extremes of an optimistic and pessimistic prediction about future costs is called range of:

Answer: B


NEW QUESTION # 85
......

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