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IAM The Institute of Asset Management Certificate Sample Questions (Q71-Q76):

NEW QUESTION # 71
According to ISO 55000, assets are .....

A. Refers to all the materials available in our environment
B. Processed, organized and structured data
C. A type of investment that represents an ownership share in a company
D. Item, thing or entity that has potential or actual value to an organization

Answer: D

Explanation:
ISO 55000 provides a clear and inclusive definition of anassetthat moves beyond the traditional financial concept. It includesanything that can deliver valueto an organization, either now or in the future. This may be physical, intangible, or financial.
* Arefers to equity investments-not the scope of ISO 55000.
* BandDare unrelated to asset management as defined in this standard.
* Cmatches the ISO definition verbatim.
Exact Extract from ISO 55000:2014, Clause 3.2.1 - Definition of Asset:
"An asset is an item, thing or entity that has potential or actual value to an organization."

NEW QUESTION # 72
What information is most likely to help in deciding whether to replace an asset rather than repair it?

A. Up front capital cost
B. Output of lifecycle cost analysis
C. Design life
D. Age of the asset
E. Warranty period

Answer: B

Explanation:
Lifecycle cost analysisprovides a complete financial picture of both options (repair vs. replace). It considers capital, operating, maintenance, and disposal costs-enabling informed decisions.
Exact Extract from IAM - Asset Management: An Anatomy (v4), Section 4.5.1 - Lifecycle Costing:
"Lifecycle cost analysis enables decision-making based on total cost of ownership rather than isolated capital or operational expenditure."

NEW QUESTION # 73
The comparison between Lean and Asset Management, are ......

A. All about Asset, People, System
B. All about Security System
C. All about Value, Risk, Maintenance
D. All about Purpose, Process, People

Answer: D

NEW QUESTION # 74
There are many factors that can drive the decommissioning of assets, expect:

A. compliance with changes in legislation
B. obsolete technology
C. cost of retaining in service
D. excess of service capacity

Answer: A

NEW QUESTION # 75
The following things are taken into consideration in developing an asset management strategy,except:

A. Life cycle approach
B. Consistency
C. Management needs
D. Asset requirements

Answer: C

Explanation:
When developing anasset management strategy, key elements include:
* Consistencywith the organizational context and policy.
* Alife cycle approach, covering all asset phases.
* Clear understanding ofasset requirementsto meet future demand and performance expectations.
Management needs, while important for operational support, are not a core component of strategic development and are therefore the correct exclusion.
Exact Extract from ISO 55001:2014, Clause 6.2 - Asset Management Objectives and Planning:
"The strategy must consider the asset lifecycle, ensure consistency with organizational objectives, and define asset requirements."

NEW QUESTION # 76
......

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