Identify the Incorrect Statement About SRIP

question 56

Multiple Choice

Identify the incorrect statement about SRIP.

• A) Companies with high performance on SRIPs advertise their high ratings to attract more business
• B) It first identifies events or problems with supplier service
• C) Buyers recognize that the quality of service is not reflected in the total cost of acquisition
• D) Buyers evaluate suppliers for elevation to partner or preferred supplier status
• E) The SRIP procedure provides only supplier performance information

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Definitions:

Services Revenue

Income earned by a company through the provision of services to customers.

Debit

An accounting entry that increases an asset or expense account, or decreases a liability or equity account.

Asset Accounts

Accounts on a company's balance sheet that represent the resources owned by the company which have economic value and can provide future benefits.

Debits

Entries on the left side of an accounting ledger, representing increases in assets or expenses and decreases in liabilities or equity.