This Table Contains the Performance Criteria and Scores (Larger Numbers

question 68

Essay

This table contains the performance criteria and scores (larger numbers are better)for four potential suppliers to Satriale's Pork Store. Evaluate the data and identify the BEST source for Satriale's. Consider the two runners-up to the best source and what points of negotiation might lead them to becoming the optimal supplier.
$$\begin{array} { | l | c | c | c | c | } \hline \text { Performance Dimension } & \text { Company T } & \text { Company C } & \text { Company S } & \text { Company P } \\\hline \text { Innovation } ( \mathrm { W } = 0.4 ) & 4 & 4 & 2 & 5 \\\hline \text { Cost } ( \mathrm { W } = 0.3 ) & 4 & 3 & 5 & 2 \\\hline \text { Stability } ( \mathrm { W } = 0.2 ) & 2 & 1 & 4 & 5 \\\hline \text { Speed } ( \mathrm { W } = 0.1 ) & 3 & 5 & 5 & 2 \\\hline\end{array}$$

---

Definitions:

Revenue Recognition Principle

An accounting principle that dictates the conditions under which revenue is recognized and recorded.

Performance Obligations

Promises in a contract to transfer goods or services to a customer, central to revenue recognition principles.

Transaction Price

The total monetary value exchanged or agreed upon in a transaction.

Revenue Recognition

The accounting principle that dictates the conditions under which income becomes recognized as revenue.