Author Question: With an increase in production on the international level, costs for production in the domestic ... (Read 114 times)

c0205847 · **on:** Jun 29, 2018

With an increase in production on the international level, costs for production in the domestic market often double or triple.

Indicate whether the statement is true or false

Question 2

Which of the following is not one of the management uses for the data derived from a comprehensive cost-base supplier evaluation system?
a. Such a system provides the necessary information that allows a buyer to justify buying from a preferred supplier despite a higher unit price.
b. The system allows a buyer to communicate the cost of specific nonperformance events to the originating supplier, which then helps identify improvement opportunities.
c. Quantifying nonconformance costs can result in a chargeback to the offending supplier for unplanned costs.
d. The system allows customized assignment of cost accounting codes depending on how much money is left in the annual budget.
e. A buyer can use this data to identify longer-term sources of supply based on a supplier's total cost performance history.