General Financial Rules 2017 - Chapter 6: Procurement of Goods and

Services

1. An authority competent to incur expenditure may sanction the purchase of goods required for use in public
service in accordance with provisions given in the
A. Delegation of Financial Powers Rules

B. Departmental Regulations

C. R&P

D. GFR
2. The terms rate contract pertains to
A. Ministries/Departments

B. DGS&D

C. Ministry of Finance

D. Ministry of Corporate Affairs

3. GeM stands for

A. Government Money
B. Government e-marketing

C. Government e-market Place

D. Goods e-market place
4. Pick the incorrect one

A. Up to Rs.50,000/- through any of the available suppliers on the GeM, meeting the requisite quality,
specification and delivery period.

B. Above Rs.50,000/- and up to Rs.30,00,000/- through the GeM Seller having lowest price amongst the
available sellers, of at least three different manufacturers, on GeM, meeting the requisite quality,

specification and delivery period.

C. Above Rs.30,00,000/- through the supplier having lowest price meeting the requisite quality,

specification and delivery period after mandatorily obtaining bids, using online bidding or reverse
auction tool provided on GeM.

D. None (all of the above are correct)

5. The Ministries/Departments shall l project their Annual Procurement Plan of goods and services on GeM

portal within

A. 30 days of Budget approval.

B. 30 days of financial year

C. 90 days of budget approval

D. 90 days of financial year

6. Depending on the nature of the goods the supplier(s) will be registered for a fixed period between
A. 1 to 2 years
 B. 1 to 3 years

C. 2 to 3 years
D. 2 to 5 years

7. If a procuring entity determines that the bidder has breached the code of integrity it may debar a bidder or
any of its successors from participating in any procurement process undertaken by it for a period

A. not exceeding two years

B. not exceeding three years

C. not exceeding five years

D. not exceeding ten years

8. Purchase of goods without inviting quotations or bids on the basis of a certificate to be recorded by the
competent authority up-to the value of Rupees

A. 10000/-

B. 15000/-

C. 25000/-

D. 50000/-

9. Purchase of goods without inviting quotations or bids on the basis of a certificate to be recorded by the
competent authority up-to the certain has been given in GFR under Rule
A. 145
 B. 147

C. 150
D. 154

10.Purchase of goods on each occasion may be made on the recommendations of a duly constituted Local
Purchase Committee costing

A. above Rs. 10,000 up-to Rs.1,00,000/-

B. above Rs. 15,000 up-to Rs.1,50,000/-

C. above Rs. 25,000 up-to Rs.1,50,000/-

D. above Rs. 25,000 up-to Rs.2,50,000/-

11. Purchase of goods on each occasion may be made on the recommendations of a duly constituted Local
Purchase Committee has been referred to in GFR under Rule

A. 151

B. 154

C. 155

D. 157

12. State whether true or false It is desirable, however, not mandatory for all Ministries/Department s of the
Central Government, their attached and Subordinate Offices and Autonomous /Statutory Bodies to publish
 their tender enquiries, corrigenda thereon and details of bid awards on the Central Public Procurement Portal

(CPPP).
A. True

B. False
13. It is mandatory for Ministries/ Departments to receive all bids through e-procurement portals in respect of

all procurements. These instructions will not apply to procurements made by Ministries / Departments

through

A. Multinational Companies
B. Public Sector Undertakings

C. DGSD Rate
D. Make in India Companies

14. Advertised Tender Enquiry should be resorted for procurement of goods of estimated value of Rupees

A. 10 lakh and above

B. 20 lakh and above

C. 25 lakh and above

D. 30 lakh and above

15. CPPP Stands for
A. Central Public Procurement Portal
 B. Centralized Purchase & Payment Portal

C. Common Public Procurement Portal

D. Common Purchase & Payment Portal

16. Ordinarily, from the date of publication of the tender notice or availability of the bidding document for sale,
whichever is later the minimum time to be allowed for submission of bids should be

A. 2 weeks

B. 3 weeks

C. 4 weeks
D. 7 weeks

17. Where the bids from abroad are also to be obtained, the minimum period should be kept as
A. 3 weeks for domestic and 4 weeks for foreign bidders.

B. 3 weeks for both domestic and foreign bidders.

C. 4 weeks for both domestic and foreign bidders

D. 4 weeks for domestic and 6 weeks for foreign bidders

18. Limited Tender Enquiry may be adopted when estimated value of the goods to be procured is up to Rupees

A. 10 lakh
B. 15 lakh
C. 20 lakh
 D. 25 lakh

19. Copies of the bidding document should be sent directly by speed post/registered post/courier/ email to firms
which are borne on the list of registered suppliers for the goods in question under

A. Advertised Tender Enquiry

B. Limited Tender Enquiry

C. Multi Tender Enquiry

D. Two Stage Tender Enquiry

20. The number of supplier firms in Limited Tender Enquiry should be

A. not less than three

B. more than three

C. four

D. six

21. Purchase through Limited Tender Enquiry may be adopted even where the estimated value of the

procurement is more than 25 lakh in the following circumstances except

A. The competent authority in the Ministry or Department certifies that the demand is urgent and any

additional expenditure involved by not procuring through advertised tender enquiry is justified in view
of urgency.
 B. There are sufficient reasons indicating that it will not be in public interest to procure the goods through

advertised tender enquiry.

C. The sources of supply are definitely known and possibility of fresh source(s) beyond those being tapped

is remote.
D. The goods under procurement is of high value and delicate nature.

22. Pick the incorrect one

A. For purchasing high value plant, machinery etc. of a complex and technical nature, bids may be

obtained in two parts- Technical bid and Financial bid.

B. Technical bid consists of all technical detail s along with commercial terms and conditions and

Financial bid indicating item-wise price for the items mentioned in the technical bid.
C. The technical bid and the financial bid should be sealed by the bidder in separate covers

duly super-scribed and both these sealed covers are submitted separately.

D. The technical bids are to be opened by the purchasing Ministry or Department at the first instance and

evaluated by a competent committee or authority. At the second stage financial bids of only these

technically acceptable offers should be opened after intimating them the date and time of opening the

financial bid for further evaluation and ranking before awarding the contract.
23. Procurement from a single source may be resorted to in the following circumstances except:
 A. It is in the knowledge of the user department that only a particular firm is the manufacturer of the

required goods
B. In a case of emergency and reason for such decision is to be recorded and approval of competent

authority obtained.
C. For standardisation of machinery or spare parts to be compatible to the existing sets of equipment (on

the advice of a competent technical expert and approved by the competent authority), the required item

is to be purchased only from a selected firm

D. None of the above

24. Proprietary Article Certificate is applicable in

A. Limited Tender Enquiry

B. Advertised Tender Enquiry

C. Single Tender Enquiry

D. Two Bid Enquiry Tender

25. An online real-time purchasing technique utilised by the procuring entity to select the successful bid,

which involves presentation by bidders of successively more favourable bids during a scheduled period of

time and automatic evaluation of bids is called

A. Electronic Procurement
B. Electronic Reverse Auction
 C. Electronic Buyer Seller Action

D. Electronic Deliberation
26. State whether true or fasle Maintenance contract(s) of suitable period either with the supplier of the

goods or with any other competent firm, not necessarily the supplier of the subject goods is/are especially
needed for sophisticated and costly equipment and machinery.

A. True

B. False

27.To safeguard against a bidder’s withdrawing or altering its bid during the bid validity period in the case of
advertised or limited tender enquiry, Bid Security is obtained. Bid Security is also called

A. Security Deposit
B. Performance Deposit

C. Work Guarantee

D. Earnest Money

28. Amount of bid security should ordinarily range between

A. 1 to 5% of the estimated value of the goods to be procured.

B. 2 to 5% of the estimated value of the goods to be procured.

C. 3 to 5% of the estimated value of the goods to be procured.
D. 5 to 10 of the estimated value of the goods to be procured.
29. Bid Security may be exempted for

A. Micro and Small Enterprises (MSEs)

B. Suppliers registered with the Central Purchase Organisation or the concerned Ministry or Department.

C. Both of the above

D. None

30. The bid security is normally to remain valid for a period of

A. 30 days beyond the final bid validity period.

B. 30 days from date of inviting bid

C. 45 days beyond the final bid validity period

D. 45 days from date of inviting bid

31. Bid securities of the unsuccessful bidders should be returned to them at the earliest after expiry of the final

bid validity and latest on or before the

A. 30th day after the award of the contract.

B. 45th day after the award of the contract

C. 60th day after the award of the contract

D. 75th day after the award of the contract

32. Performance Security should be for an amount of (of the value of the contract as specified in the bid
documents)
 A. 2 to 5%

B. 5 to 10%
C. 5 to 15%

D. 10 to 15%
33. Period for which Performance Security should remain valid beyond the date of completion of all

contractual obligations of the supplier including warranty obligations?

A. 30 days

B. 45 days
C. 60 days

D. 90 days
34. Advance payments for procurement of goods and services may be made in cases advance payment

demanded

A. by firms holding maintenance contracts for servicing of Air- conditioners, computers,

other costly equipment, etc. by firms against fabrication contracts, turn-key contracts

etc.

B. by firms supplying high value machinery and plants.

C. by firms supplying scientific and technical items
D. by firms supplying items are located abroad.
35. In case of advance to private firms, it should not exceed:

A. 10% of the contract value

B. 20% of the contract value

C. 30% of the contract value

D. 50% of the contract value

36. In case of advance to a State or Central Government agency or a Public Sector Undertaking, it should

not exceed:

A. 20% of the contract value

B. 25% of the contract value

C. 30% of the contract value

D. 40% of the contract value

37.In case of maintenance contract, the amount of advance should not exceed the amount payable for

A. 2 months under the contract.

B. 3 month sunder the contract

C. 6 month sunder the contract

D. 12 months under the contract

38. Ministries or Departments of the Central Government may relax the ceilings (including percentage laid
down for advance payment for private firms) in consultation with
 A. CGA

B. CA&G
C. their Principal Accounts Officer

D. their Financial Advisers

39. State whether true or false if a firm quotes NIL charges/consideration, the bid shall be given priority

and be treated as lowest one as it will most economical to the State”

A. True

B. False
40. In case a purchase Committee is constituted to purchase or recommend the procurement, no member

of the purchase Committee should be reporting directly to any other member of such Committee in cases
estimated value of procurement exceeds

A. Rs. 10 lakhs

B. Rs. 25 lakhs

C. Rs. 50 lakhs

D. Rs. 1 crore

41. State whether true or false Disclosure by the bidder of any previous transgressions made in respect of code of
integrity with any entity in any country during the last five (05) years or of being debarred by any other
procuring entity.
 A. True

B. False
42. Services typically involve providing expert or strategic advice is called

A. Consulting Service
B. Non-consulting Services

C. Advisory Services

D. Management Services

43. Preparation of a long list of potential consultants may be done on the basis of formal or informal
enquiries from other Ministries or Departments or Organizations involved in similar activities, Chambers of

Commerce & Industry, Association of consultancy firms etc. Where the estimated cost of the consulting
service is up to Rupees

A. 10 lakh

B. 15 lakh

C. 25 lakh

D. 40 lakh

44. “Expression of Interest” should be sought where the estimated cost of the consulting services is
A. above Rs. 20 lakh
B. above Rs. 25 lakh
 C. up-to Rs. 20 lakh

D. up-to Rs. 25 lakh

45. The number of short listed consultants should

A. not be less than three.

B. be more than three

C. not be less than six

D. be more than six

46. RFP stands for

A. Requirement for Procurement

B. Request for Procurement

C. Request for Purchase & Payment

D. Request for Proposal

47. Technical bids should be analysed and evaluated by a

A. Consultancy Evaluation Committee (CEC) constituted by the Ministry or Department.

B. Consultancy Evaluation Committee (CEC) constituted by the Ministry of Finance

C. Consultancy Evaluation Committee (CEC) constituted by Head of Department

D. Consultancy Evaluation Committee (CEC) constituted by the Parliament.
48. QCBS stands for
 A. Quality Control & Budgeting System

B. Quality and Cost Based Selection

C. Quality Control Based Selection

D. Quality and Cost Based Supply

49. The weight age of the technical parameters i.e. non- financial parameters in no case should exceed

A. 30%

B. 50%

C. 60%
D. 80%

50. Services which involve physical, measurable deliverables/outcomes, where performance standards can
be clearly identified and consistently applied, are classified as

A. Contingent Services

B. Labour Services

C. Non-consulting Services

D. Work Charged Services

51. Pick the incorrect one

A. For identification of likely contractors the Ministry or Department should prepare a list of likely and
potential contractors on the basis of formal or informal enquiries from other Ministries or Departments
 and Organisations involved in similar activities, scrutiny of ‘Yellow pages’, and trade journals, if

available, web site etc.

B. The number of the identified contractors for issuing limited tender enquiry for

estimated value of the non-consulting service up-to Rs.10 lakhs should not be less than
six.

C. For estimated value of the non-consulting service above Rs.10 lakhs The Ministry or Department

should issue advertisement in such case should be given on Central Public Procurement Portal (CPPP)

D. None (All of the above are correct)