When a Company Puts Its Purchasing Requests Online and Invites

question 19

Multiple Choice

When a company puts its purchasing requests online and invites suppliers to bid for the business, this is known as:

• A) periodic orders.
• B) reverse auction.
• C) carpet contracting.
• D) blanket contracting.
• E) vendor managed partnership.

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Definitions:

Total Sales Dollars

The complete amount of revenue generated by a company from sales activities within a specific period, measured in currency.

Contribution Format

A type of income statement format that separates fixed and variable costs, emphasizing the contribution margin.

Income Statement

A financial report detailing a company's income, costs, and gains for a given time frame.

Variable Expenses

Costs that vary in direct proportion to changes in a business activity's level, such as sales volume or production quantity.