Which of the Following Is Not One of the Management

question 78

Multiple Choice

Which of the following is not one of the management uses for the data derived from a comprehensive cost-base supplier evaluation system?​

• A)Such a system provides the necessary information that allows a buyer to justify buying from a preferred supplier despite a higher unit price.
• B)The system allows a buyer to communicate the cost of specific nonperformance events to the originating supplier, which then helps identify improvement opportunities.
• C)Quantifying nonconformance costs can result in a chargeback to the offending supplier for unplanned costs.
• D)The system allows customized assignment of cost accounting codes depending on how much money is left in the annual budget.
• E)A buyer can use this data to identify longer-term sources of supply based on a supplier's total cost performance history.