Having One Person Responsible for the Related Activities of Ordering

question 233

Multiple Choice

Having one person responsible for the related activities of ordering merchandise, receiving goods, and paying for them

• A) increases the potential for errors and irregularities.
• B) decreases the potential for errors and irregularities.
• C) is an example of good internal control.
• D) is a good example of safeguarding the company's assets.

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Definitions:

Supply Chain Management

The control over the transportation and warehousing of raw materials, goods in the production process, and finalized items from their source to their destination of use.

Supply Chain

A network comprising of entities, individuals, processes, data, and assets that facilitate the transit of a good or service from its origin to the end user.

Whole-Lot Quantities

The complete amount of goods considered as a single unit for manufacturing, ordering, or selling purposes.

Quick Response Systems

Technology-driven systems designed to improve the efficiency of information flow and material handling, thereby speeding up transactions and responsiveness in the supply chain.