A Supplier Scorecard Is Used for Price Negotiations with the Supplier

question 8

True/False

A supplier scorecard is used for price negotiations with the supplier.

---

Definitions:

Purchase Discounts

Reductions in price granted by suppliers to buyers for prompt payment or purchase volume.

Net Purchases

The total amount of goods purchased for resale, minus returns and allowances, plus freight and other acquisition costs.

Net Sales

Net sales is the total revenue from goods and services sold by a business, minus returns, allowances, and discounts, indicating the actual sales revenue.

Cost Of Goods Sold

The direct costs attributable to the production of goods sold by a company, including material, labor, and overhead costs.