What is the difference between purchase requisition and purchase order

Q: IBe the relevant costs in evaluating whether to accept an order at a special price. Provide an…

A: Managers must often evaluate whether a special order should be accepted, and if the order is…

Q: Identify any two potential drawbacks that purchasing manager could face given their choice of…

A: The sourcing process encompasses all activities centered on identifying and evaluating possible…

Q: The decision to accept or reject a special order and the selection of a price for a special order…

A:

Q: Explain how negotiation between the supplying and buying units may be used to set transfer prices.…

A: Cost accounting is the branch of accounting that inspects the cost structure of a business. This…

Q: Explain how the lower of cost and net realizable value rule is applied to purchase commitments.

A: Purchase Commitments: It refers to the commitments or contract made by a company with its suppliers…

Q: When should special pricing orders be accepted?

A: Special pricing order: A special order is a unique one time order made by a customer. In this order…

Q: Give two reasons why transfer pricing's dual-pricing scheme isn't frequently implemented.

A: This question explains about the transfer pricing's dual-pricing scheme is frequently implemented.

Q: Explain the most important considerations when deciding whether or not to accept a special order at…

A: Profit maximisation is the main aim of any business. So…

Q: “Companies devote resources to a purchasing department but not on individual departments that can…

A: Purchasing department: It can be defined as the department of the organization that deals with…

Q: The lower of cost or net realizable value basis of valuing inventories is example of ? A) the cost…

A: Principles of conservation is one of basic principles of valuing in accounting of inventory.

Q: “JIT purchasing has many benefits but also some risks.” Do you agree? Explain briefly.

A: Just in time is the method of inventory management in which the inventory just arrives before the…

Q: “JIT purchasing has many benets but also some risks.” Do you agree? Explain briey.

A: In Just-in-time (JIT) purchasing, goods and materials are purchased in a way that they are required…

Q: What is false about cost plus mark-up pricing? a. attempts to apply or allocate fix costs to pricing…

A: Cost plus pricing: It is a pricing strategy in which company set selling price by charging  markup…

Q: Calculate the lowest acceptable transfer price for the seller (Division A) ?

A: Calculation of contribution per unit of Division A Particulars Amount Selling price per unit 76…

Q: Identify at least two (2) irrelevant costs in a make vs buy decision

A: Irrelevant costs are those costs that do not change if any of the alternatives are selected between…

Q: em. b. the amount of money paid for an item,

A: Opportunity costs are the potential gains that an individual, investor, or corporation foregoes by…

Q: Give an example on the Sell or process further and solve it

A: Sell or process further is a Managerial decision taken by considering factors like cost, sales…

Q: Explain Make-or-Buy Decision?

A: Meaning:  It is a decision which is made to either manufature a product or service in house ( by…

Q: explain each of Highest added value activity, to increase switching cost, and to increase entry…

A: Barriers to entry are obstacles or obstacles that make it difficult for a new business to enter a…

Q: Determine which of the following two alternatives is the most efficient and which is the most…

A: Internal Rate of Return: It is the rate at which a project's or investment's net present value…

Q: A decision that involves potential further processing of joint products is which kind of decision?…

A: Introduction: - One of the most important Decisions relating to dropping existing products or adding…

Q: Define the Make-or-Buy Decision?

A: A make or buy decision is to choose whether to manufacture the produce in-house or purchase it from…

Q: Csn you incorporate Transactional pricing in the same agreement as formula pricing and why or why…

A: Answer Concept  Transactional pricing is  the pricing model in which customers are charged on the…

Q: Give two reasons why the dual-pricing system of transfer pricing is not widely used.

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Q: Leah Clement believes that the allocation of cost of goods available for sale should be based on the…

A: Cost of Good Sold: Cost of goods sold (COGS) refers to the direct costs of manufacturing the…

Q: What is meant by Transfer price and why transfer prices are needed? 2- Distinguish between Traceable…

A: Meaning of Transfer Price, Traceable and Common cost is given below,

Q: What is frequency regarding the make or buy decision?

A: Make or Buy: Make or Buy decision are normal condition arises in front of management due to…

Q: Conceptually, how would you evaluate a quantity discount offerfrom a supplier?

A:

Q: What’s the difference between order and volume discounts? Justify your answer.

A: Manufacturers and sellers utilize volume discount pricing, or volume discounting, to reward…

Q: or Discount and Direct Discount pricing, apart from who pays for the subscription?

A: You pay for the membership directly with the ProAdvisor discount and enjoy an ongoing discount. With…

Q: The three common approaches to setting transfer prices include: the _____ price approach, where the…

A: There are three approaches, cost, market and negotiated.

Q: Provide three examples of pricing decisions other than the special order.       Question content…

A: Pricing decisions are the choices business makes when deciding the price for the product or the…

Q: Identify three cost-based transfer prices. What are the disadvantages of cost-based transfer prices?…

A: Transfer Pricing: It is the value at which goods and services are transferred from one unit to…

Q: 1. What is the financial advantage (disadvantage) of further processing each of the three products…

A: The question is related Process Costing. Joint cost is that cost which is incurred in making of…

Q: The EOQ model is a procedure that calculates the number of items that an order should have, in order…

A: EOQ calculates the economic order quantity. EOQ is the optimal order quantity that will lead to a…

Pricing

Pricing is used as a term in finance and economics, pricing is the process of fixing a value for a product or a service. Pricing establishes a value for a product or service that the customer has to pay. A business can choose from different strategies while deciding to set prices.