In _____ Purchasing, by Negotiating Contracts in Advance, Companies Can

question 1

Short Answer

In _____ purchasing, by negotiating contracts in advance, companies can obtain low prices and good delivery terms.

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Definitions:

Capital

Financial assets or the financial value of assets, such as cash and securities, owned by a business or individual, used for creating wealth or to engage in further production.

Revenue

The total amount of money earned by a business from its normal business operations, before any expenses are subtracted.

Credit Balance

An accounting situation where the sum of credits in an account exceeds the sum of debits, often seen in liability and revenue accounts.

Income Summary

An account used in the closing process that aggregates all revenues and expenses to determine the overall profit or loss.