One Important Role of Purchasing Is to

question 78

Multiple Choice

One important role of purchasing is to

• A)set quality standards for purchased items from suppliers.
• B)be knowledgeable about new products from suppliers.
• C)maintain numerous sources of supply.
• D)obtain the lowest prices on all purchased items.
• E)determine the processes that should be used by suppliers.

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Definitions:

Social Benefits

The total gains that accrue to society from an economic transaction or policy, encompassing both direct and indirect effects.

Pollution

The contamination of the natural environment, leading to adverse effects on ecosystems, human health, and quality of life.

Market Demand Curve

A graphical representation that shows the relationship between the price of a good or service and the total quantity demanded by all consumers in the market.

Willingness To Pay

The maximum amount an individual is prepared to sacrifice to procure a good or service or to avoid something undesirable.