NPMA CPPA Practice Questions With Correct Answers., Exams of Business Informatics

NPMA CPPA Practice Questions With Correct Answers.

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2025/2026

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NPMA CPPA Practice Questions
With Correct Answers
Which |of |the |following |is |the |most |important |factor |in |maintaining |
accountability |for |government |property?
Implementing |an |effective |record-keeping |system
What |is |the |primary |responsibility |of |a |property |administrator |in |a |government
|contract?
To |monitor |compliance |with |property |clauses |and |regulations
Under |the |Federal |Acquisition |Regulation |(FAR), |who |is |primarily |responsible |
for |ensuring |proper |stewardship |of |government |property?
The |contractor |assigned |to |the |property
Which |document |must |a |contractor |maintain |to |track |government |property |in |
their |possession?
A |property |control |system |record
What |is |the |purpose |of |DFARS |252.245-7003 |in |relation |to |government |
property?
It |sets |requirements |for |contractor |property |management |systems
Which |of |the |following |is |an |acceptable |method |for |performing |a |physical |
inventory?
Immediately |after |the |discrepancy |is |identified
Which |disposal |method |is |preferred |for |government |property |that |still |has |
residual |value?
Property |that |exceeds |the |needs |of |an |agency |and |has |no |foreseeable |
requirement
Which |of |the |following |is |NOT |a |core |function |of |a |property |administrator?
Overseeing |employee |hiring |processes
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NPMA CPPA Practice Questions

With Correct Answers

Which |of |the |following |is |the |most |important |factor |in |maintaining |

accountability |for |government |property?

Implementing |an |effective |record-keeping |system

What |is |the |primary |responsibility |of |a |property |administrator |in |a |government

|contract?

To |monitor |compliance |with |property |clauses |and |regulations

Under |the |Federal |Acquisition |Regulation |(FAR), |who |is |primarily |responsible |

for |ensuring |proper |stewardship |of |government |property?

The |contractor |assigned |to |the |property

Which |document |must |a |contractor |maintain |to |track |government |property |in |

their |possession?

A |property |control |system |record

What |is |the |purpose |of |DFARS |252.245-7003 |in |relation |to |government |

property?

It |sets |requirements |for |contractor |property |management |systems

Which |of |the |following |is |an |acceptable |method |for |performing |a |physical |

inventory?

Immediately |after |the |discrepancy |is |identified

Which |disposal |method |is |preferred |for |government |property |that |still |has |

residual |value?

Property |that |exceeds |the |needs |of |an |agency |and |has |no |foreseeable |

requirement

Which |of |the |following |is |NOT |a |core |function |of |a |property |administrator?

Overseeing |employee |hiring |processes

What |is |the |first |step |in |the |approval |process |when |making |a |purchase?

Obtaining |approval |to |spend |budgeted |organizational |funds

In |organizations |with |online |financial |systems, |which |document |is |often |used |

as |part |of |a |three-way |match |of |transactions |prior |to |payment?

Invoice

What |is |one |accomplishment |of |tagging |new, |incoming |property?

Readily |establishes |ownership

Which |type |of |property |generally |requires |serialized |tags?

Government |property |sensitive |property

When |performing |an |ABC |inventory |analysis, |Category |'C' |accounts |for |

approximately |what |percentage |of |stock |records?

What |is |a |disadvantage |of |centralized |receiving?

Slower |turn-around |time |for |deliveries

Human |sources |of |risk |throughout |the |life |cycle |of |an |asset |may |include |what?

Inaccurate |recordkeeping

What |is |critical |to |the |decision-making |process, |making |the |need |to |compare |

the |costs |of |mitigating |a |risk |to |anticipated |what?

Loss

What |is |the |foundation |of |an |asset |management |review?

Written |procedures

Why |must |auditors |render |judgment |of |the |conclusions |fairly, |without |bias |or |

external |influences?

to |maintain |the |integrity |and |objectivity |of |the |audit |process

A |government |contractor |is |required |to |submit |an |annual |property |report. |

What |is |the |primary |purpose |of |this |report?

To |confirm |the |contractor's |compliance |with |property |management |

requirements

Verifying |the |item |against |the |purchase |order |and |packing |slip

What |is |the |role |of |the |property |administrator |when |a |contractor |acquires |new |

government-furnished |property |(GFP)?

Assign |a |new |property |number |and |update |records

What |is |the |primary |purpose |of |conducting |an |inventory |reconciliation?

To |confirm |the |accuracy |of |recorded |assets |against |physical |assets

What |should |be |done |when |an |inventory |count |reveals |missing |property?

Investigate |the |discrepancy |and |report |missing |items

Which |regulation |governs |the |control |and |use |of |government |property |in |the |

possession |of |contractors?

FAR |Part | 45

What |is |a |key |requirement |under |DFARS |252.245-7003 |for |contractors |

managing |government |property?

Implement |a |government-approved |property |management |system

What |is |the |first |step |in |the |disposal |process |for |excess |government |property?

Determine |whether |another |government |agency |needs |the |property

Which |disposal |method |is |NOT |typically |used |for |government |surplus |

property?

Unregulated |private |sales |to |individuals

Which |of |the |following |is |a |key |security |measure |for |protecting |sensitive |

government |property?

Conducting |regular |property |audits |and |security |checks

What |is |a |potential |consequence |of |failing |to |properly |secure |government |

assets?

Regulatory |violations |and |possible |financial |penalties

What |is |the |key |documentation |required |when |transferring |government |

property |from |one |location |to |another?

A |formal |property |transfer |document

Which |of |the |following |is |NOT |a |recommended |practice |when |moving |

government |property?

Allowing |employees |to |move |property |without |documentation

Why |is |it |important |to |track |the |depreciation |of |government |assets?

To |comply |with |financial |reporting |and |audit |requirements

Which |financial |document |is |used |to |record |an |asset's |depreciation?

Balance |Sheet

Which |document |is |essential |for |verifying |that |received |goods |match |the |

terms |of |the |purchase |order?

Receiving |report

What |is |the |primary |purpose |of |a |bill |of |lading |in |the |property |acquisition |

process?

To |serve |as |a |contract |between |the |shipper |and |carrier

Which |inventory |valuation |method |assigns |the |cost |of |the |most |recent |

purchases |to |ending |inventory?

First-In, |First-Out |(FIFO)

What |is |the |main |objective |of |a |cycle |counting |program |in |inventory |

management?

To |continuously |verify |inventory |accuracy

Under |the |Sarbanes-Oxley |Act, |which |section |requires |management |to |assess |

and |report |on |the |effectiveness |of |internal |controls |over |financial |reporting?

Section | 404

Which |federal |agency |is |primarily |responsible |for |enforcing |regulations |related

|to |workplace |safety |and |health?

Occupational |Safety |and |Health |Administration |(OSHA)

What |is |the |primary |consideration |when |selecting |a |method |for |disposing |of |

surplus |property?

Compliance |with |applicable |laws |and |regulations

Which |disposal |method |involves |transferring |ownership |of |surplus |property |to |

another |government |agency?