Which of the Following Is Indicative of the Purchase Decision

question 4

Multiple Choice

Which of the following is indicative of the purchase decision stage of the organizational buying decision process?

• A) The purchase decision is usually quick once the information search has been completed.
• B) After the bid is submitted and even once accepted, terms must still be negotiated.
• C) Even if several vendors make it onto the bidder's list, ultimately only one supplier is chosen.
• D) If a supplier on the bidder's list is not selected, it is rarely told the reason it was rejected.
• E) Once an agreement has been formally reached, neither the buyer nor the seller is permitted to make changes to the terms of the contract.

Calculate unit product costs under both absorption and variable costing.

Understand the impact of changes in inventory levels on net operating income under both costing methods.

Prepare segmented income statements and evaluate divisional performance.

Calculate break-even points for divisions and overall company.