ncma cpcm practice test

Exam Title: Certified Professional Contracts Manager

Last update: Nov 27 ,2025
Question 1

Which of the following has the fundamental purpose to motivate desired performance in one or
more specific areas?

  • A. Contract incentive
  • B. Contract pricing
  • C. Objective incentive
  • D. Contract penalties
Answer:

A

vote your answer:
A
B
C
D
A 0 B 0 C 0 D 0
Comments
Question 2

Those incentives that use predetermined formula-based methods to calculate the amount of
incentive, either positive or negative, in one or more designated areas are called:

  • A. Objectively-based and evaluated
  • B. Subjectively-based and evaluated
  • C. Early-based and evaluated
  • D. Final-based and evaluated
Answer:

A

vote your answer:
A
B
C
D
A 0 B 0 C 0 D 0
Comments
Question 3

Which of the following shows the designated performance area in the objectively-based and
evaluated incentives?

  • A. Cost performance
  • B. Schedule or delivery performance
  • C. Quality performance
  • D. All of the above
Answer:

D

vote your answer:
A
B
C
D
A 0 B 0 C 0 D 0
Comments
Question 4

Those incentives that use individual judgment, opinions, and informed impressions as the basis for
determining the amount of incentive, either positive or negative, in one or more designated areas
are called:

  • A. Objectively-based and evaluated
  • B. Subjectively-based and evaluated
  • C. Early-based and evaluated
  • D. Final-based and evaluated
Answer:

B

vote your answer:
A
B
C
D
A 0 B 0 C 0 D 0
Comments
Question 5

Which of the following shows the designated performance area in the subjectively-based and
evaluated incentives?

  • A. Award fees
  • B. Other special incentives
  • C. Both A & B
  • D. Neither A nor B
Answer:

C

vote your answer:
A
B
C
D
A 0 B 0 C 0 D 0
Comments
Question 6

The point at which sharing changes to 0/100 is called the _____________, which represents a cost
figure.

  • A. Point of configuration
  • B. Point of total assumption
  • C. Pattern point
  • D. Prototype point
Answer:

B

vote your answer:
A
B
C
D
A 0 B 0 C 0 D 0
Comments
Question 7

The formula to calculate the Point of Total Assumption (PTA) is:

  • A. PTA = (Floor price – Target price / seller share ratio) + Target cost
  • B. PTA = (Target price – Ceiling price / Buyer share ratio) + Target cost
  • C. PTA = (Target price – Ceiling price / seller share ratio) + Target cost
  • D. PTA = (Ceiling price – Target price / Buyer share ratio) + Target cost
Answer:

D

vote your answer:
A
B
C
D
A 0 B 0 C 0 D 0
Comments
Question 8

Liquidated damages are a negative incentive (penalty) for:

  • A. Over budget
  • B. Late delivery
  • C. Do not achieve requirements
  • D. Requirements gap
Answer:

B

vote your answer:
A
B
C
D
A 0 B 0 C 0 D 0
Comments
Question 9

A critical aspect in the success of performance-based incentive contracting is called:

  • A. Creativity
  • B. Timeliness
  • C. Achievement
  • D. Standardization
Answer:

A

vote your answer:
A
B
C
D
A 0 B 0 C 0 D 0
Comments
Question 10

An agreement on a set of criteria and procedures to be applied by the buyer in determining how well
the seller has performed and how much fee the seller has earned is called:

  • A. Inducement plans
  • B. Awarded-plans
  • C. Award-free plans
  • D. Contract incentive plans
Answer:

C

vote your answer:
A
B
C
D
A 0 B 0 C 0 D 0
Comments
Page 1 out of 14
Viewing questions 1-10 out of 144
Go To
page 2