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Question 4 (2 Points) Purchasing Contributes MOST COMMONLY To: Cost Control Profitability and Supplier Quality. Sales Management

Question

Question 4 (2 points) Purchasing contributes MOST COMMONLY to: Cost control profitability and supplier quality. Sales management profitability competitive position and corporate privacy Cost control profitability taxation management and security. Sales management and profitability only None of the above.

Solution

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Answer

The answer is **Cost control, profitability, and supplier quality.**Purchasing plays a crucial role in:* **Cost control:** By negotiating favorable prices, finding reliable suppliers, and managing inventory efficiently, purchasing directly impacts the cost of goods sold.* **Profitability:** Lower costs contribute to higher profit margins. Effective purchasing also ensures the availability of materials and resources, preventing production delays that can hurt profitability.* **Supplier quality:** Purchasing is responsible for selecting and managing suppliers. The quality of the supplied goods and services directly impacts the final product's quality, influencing customer satisfaction and, ultimately, profitability.