The Document That the Purchasing Department Prepares and Sends to the Vendor

question 188

Multiple Choice

The document that the purchasing department prepares and sends to the vendor to place an order is the

• A) Purchase requisition.
• B) Purchase order.
• C) Invoice.
• D) Receiving report.
• E) Invoice approval.

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Definitions:

Average Cost

The total cost of production divided by the number of goods produced, providing a cost per unit of output.

Marginal Revenue

The incremental revenue resulted from the sale of one more product or service unit.

Total Revenue

The entire amount of income generated by the sale of goods or services.

Color Printer

A device for printing documents and images in color, using a combination of ink or toner.