Firms Can Expect That Proper Use of a Valid Vendor

question 92

Multiple Choice

Firms can expect that proper use of a valid vendor file will result in all of the following benefits except

• A) purchasing agents will be discouraged from improperly ordering inventory from related parties
• B) purchases from fictitious vendors will be detected
• C) the most competitive price will be obtained
• D) the risk of purchasing agents receiving kickbacks and bribes will be reduced

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Definitions:

Operational Plans

Detailed action plans that outline how a company’s strategic objectives will be achieved in the short term, specifying activities, resources, and timelines.

Mergers and Acquisitions

Business strategies involving the consolidation (merger) of companies or the purchase (acquisition) of one company by another to strengthen market position.

Company Growth

The increase in the size, output, or market share of a corporation over time.

Planning Improves

The process of making plans helps to enhance effectiveness and efficiency by providing direction and reducing uncertainty.