Independence Day Deal! Unlock 25% OFF Today – Limited-Time Offer - Ends In 00:00:00 Coupon code: SAVE25

- Free Preparation Discussions

CIPS Exam L4M3 Topic 8 Question 37 Discussion

Actual exam question for CIPS's L4M3 exam

Question #: 37
Topic #: 8

[All L4M3 Questions]

Which of the following should be used in a contract for window cleaning during the next three months?

AVariable pricing arrangement

BFixed pricing arrangement

CStandard schedule of rates

DCost-plus arrangement

Show Suggested Answer

Suggested Answer: A

Advantages of using fixed pricing arrangement are as below:

- Budget/income certainty - prices are fixed up front and should not change

- The impact of changes to the supplier's cost base is not fed through to the purchaser. If costs diminish, the supplier will benefit from this, and if costs rise, the purchaser will benefit

LO 3, AC 3.3

by Marjory at Jun 24, 2024, 03:27 PM

Limited Time Offer

25%

Off

Get Premium L4M3 Questions as Interactive Web-Based Practice Test or PDF

Contribute your Thoughts:

Submit Cancel

Reita

1 months ago

What, no 'cost per window' option? That's the only way I'm getting this contract. I need to know exactly how many windows I'm cleaning to pad my invoice properly!

upvoted 0 times

Josefa

18 days ago

User 1: I agree, 'cost per window' would be the most accurate.

upvoted 0 times

...

...

Brice

1 months ago

Cost-plus (D) is the way to go! Who doesn't love a blank check? Just kidding, that's probably not the best idea for a window cleaning contract.

upvoted 0 times

...

Lashon

2 months ago

The standard schedule of rates (C) makes the most sense to me. It's a fair and transparent way to handle the pricing.

upvoted 0 times

Emilio

3 days ago

I prefer a variable pricing arrangement to account for any unexpected changes in the scope of work.

upvoted 0 times

...

Nada

4 days ago

I think a fixed pricing arrangement would be better for budgeting purposes.

upvoted 0 times

...

Levi

29 days ago

I agree, the standard schedule of rates is the most straightforward option.

upvoted 0 times

...

...

Alberta

2 months ago

Variable pricing (A) seems too risky. You never know what the costs might end up being. Give me that good old-fashioned fixed rate anytime!

upvoted 0 times

Frederic

1 months ago

Cost-plus arrangement could end up being more expensive in the long run.

upvoted 0 times

...

Augustine

1 months ago

I think a standard schedule of rates would also work well for window cleaning.

upvoted 0 times

...

Luke

1 months ago

I agree, fixed pricing is much more predictable and reliable.

upvoted 0 times

...

...

Temeka

2 months ago

I think the fixed pricing arrangement (B) is the way to go. It provides stability and predictability for both parties during the contract period.

upvoted 0 times

...

Karl

2 months ago

I prefer a cost-plus arrangement to ensure transparency in pricing and fair compensation for the service.

upvoted 0 times

...

Leslee

2 months ago

I agree with Haydee, a fixed pricing arrangement provides clarity and stability.

upvoted 0 times

...

Haydee

3 months ago

I think a fixed pricing arrangement would be best for budgeting purposes.

upvoted 0 times

...

az-700 pass4success az-104 200-301 200-201 cissp 350-401 350-201 350-501 350-601 350-801 350-901 az-720 az-305 pl-300

Warning: Cannot modify header information - headers already sent by (output started at /pass.php:70) in /pass.php on line 77