Which of the Following Is a Reason Small Value Purchases

question 13

Multiple Choice

Which of the following is a reason small value purchases are handled differently?

• A)To give the buyer additional supplier choices
• B)To obtain a higher quality product
• C)To have better tracking of material usage
• D)To control unnecessary administrative costs

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Definitions:

Face Value

The nominal or dollar value printed on a security or financial instrument, such as a bond or stock certificate, representing its worth at issuance.

Face Value

The nominal value or dollar value printed on a financial instrument like a bond or bill, representing its worth at maturity.

Accrued Interest

Interest that has been earned but not yet paid, typically relating to bonds or loans, accruing daily until the payment date.

Interest Payment Periods

The specific intervals at which interest payments are made on a debt instrument, such as monthly, quarterly, or annually.