The Difference Between Term PRAs and Special PRAs, Is That

question 74

Multiple Choice

The difference between Term PRAs and special PRAs, is that term PRAs have ________.

• A) a term shorter than one business day, typically a term of 2 hours
• B) a term longer than one business day, typically a term of 28 business days
• C) a term longer than year, typically a term of 3 years
• D) a term longer than one business day, typically a term of 6 months

Understand how to improve bargaining positions in negotiations.

Recognize the role of commitment in strategic bargaining situations.

Assess the influence of external conditions on bargaining strategies.

Understand the factors that improve bargaining position when contracting with a supplier.

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Definitions:

Idle Capacity

The condition when resources, typically manufacturing or production facilities, are available but not in use.

Activity Rates

The costs assigned to specific activities, used in activity-based costing to allocate overhead costs more accurately.

Activity Cost Pools

Categories in activity-based costing that aggregate indirect costs incurred by multiple cost objects, allowing for more precise allocation.

Activity-Based Costing

Activity-Based Costing is a method that assigns costs to products or services based on the activities they require, aiming for more accurate allocation of overhead.