Which of the Following Is a Difference Between Purchaser and Decider

question 45

Multiple Choice

Which of the following is a difference between purchaser and decider?

• A) The purchaser actually negotiates the purchase,whereas the decider approves the selection of the supplier.
• B) The purchaser approves the selection of the supplier and the decider negotiates the purchase.
• C) The purchaser suggests making a purchase; the decider influences the buying decision.
• D) The purchaser regulates information about the product and the decider ultimately uses the product.

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Definitions:

Duration

Duration is a measure of the sensitivity of the price of a financial asset to a change in interest rates, often used in the context of bonds to describe how price is affected by changes in rates.

Annual Coupon

The yearly interest payment paid to bondholders, typically expressed as a fixed percentage of the bond's face value.

Maturity

The date on which the principal amount of a financial instrument, such as a bond or loan, becomes due and is repaid to the investor.

Nominal Rate

The interest rate before adjustments for inflation, which reflects the percentage change in money supply but not the purchasing power.