Once a Firm Has Carefully Studied All of the Vendors

question 127

Multiple Choice

Once a firm has carefully studied all of the vendors, bids have been considered, and the vendor audit has been conducted, the next step in the business-to-business buying process is:

• A)the vendor screening.
• B)vendor selection.
• C)negotiation of purchase terms.
• D)postpurchase evaluation.

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Definitions:

Days

A unit of time measurement equal to 24 hours, often used in business to measure durations such as payment terms and production cycles.

Purchasing Department

A division within a company responsible for acquiring goods and services needed for business operations.

Expense Allocation

The process of distributing costs among different departments, projects, or segments within an organization.

Direct Expenses

Expenses that can be directly traced to producing specific goods or services, such as raw materials and labor costs.