UNDERSTANDING PURCHASE PROCEDURE

1. Every authority procuring goods for Government shall have the responsibility and
accountability to bring efficiency, economy and transparency in public procurement.
Do you agree?
a) Yes
b) No

2. Rate Contract means:

a) A List of Contractors
b) Rate list of items
c) DGS&D Contract with Registered firms
d) None of these

3. Purchase of goods up to the value of ………on each occasion may be made without
obtaining quotations or bids
a) Rs. 2,000/-
b) Rs.5,000/-
c) Rs. 10,000/-
d) Rs. 15,000/-

4. Purchase of goods costing above 15,000/- and up to………on each occasion shall be
made by the L0cal Purchase Committee
a) Rs. 25,000/-
b) Rs. 50,000/-
c) Rs. 1,00,000/-
d) Non of these above

5. Purchase of the goods for the value of 25 lakhs and above should be done through:
a) Advertised Tender Enquiry
b) Limited Tender Enquiry
c) Single Tender Enquiry
d) Repeated Tender Enquiry

6. Limited Tender Enquiry method may be adopted when estimated value of the goods is
more than one lakh and up to………..
a) 20 lakhs
b) 25 lakhs
c) 50 lakhs
d) 60 lakhs

7. Purchase through Limited Tender Enquiry may be adopted even where the estimated value
of goods is more than Rs. 25 Lakhs on certain occasions:
a) True
b) False

8. Proprietary Articles may be purchased on …………

a) Single Tender System
b) Limited Tender System

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9. Two Bid System means:
a) Requesting firm to give more than one bid
b) Requesting a firm to submit Technical Bid and Financial Bid separately
c) Bidding should be done twice
d) Non of these

10. What do you understand by Bid Security? It is a ….

a) Guarantee money to ensure due performance of contract
b) Service Security
c) Security against a bidder withdrawing/altering his bid during the bid validity period
d) Cost of Tender form

11. Performance Security is to be obtained from successful bidder even if it is a Registered

Firm
a) True
b) False
12. Advance payment in case of maintenance contract can be paid for one year
a) Yes
b) No
13. Transparency, competition, fairness, elimination of arbitrariness, efficiency, economy and
accountability are the yard sticks of public procurement. Do you agree?
a) No, I do not
b) Yes, I do

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 UNDERSTANDING PURCHASE PROCEDURE

ANSWERS
1. Yes. (GFR 137)
2. DGS&D Contract with Registered firms (GFR 141)
3. RS. 15,000/- (GFR 145)
4. RS. 1,00,000/- (GFR 146)
5. Advertised Tender Enquiry (GFR 149)
6. RS. 25 lakh
7. True (GFR 151)
8. Single Tender System (GFR 154)
9. Requesting a firm to submit Technical Bid & Financial Bid separately (GFR 152)
10. Security against a bidder withdrawing/altering his bid (GFR 157)
11. True (GFR 158)
12. No. It can be made for six months (GFR 159 (1))
13. Yes (GFR 160)