8-The profit-leverage effect of purchasing savings means that.. a- a reduction in money tied up in inventory improves profits b-a reduction in purchase spend increases profits more than an equal sales increase c-effective price negotiation with a supplier will reduce a supplier's profit d-the buyer gains leverage over suppliers as purchases are standardized

ENGR.ECONOMIC ANALYSIS
14th Edition
ISBN:9780190931919
Author:NEWNAN
Publisher:NEWNAN
Chapter1: Making Economics Decisions
Section: Chapter Questions
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Please help 8 &9

d
c-reducing annual spend
d-improving process efficiency
e-all of the above
8-The profit-leverage effect of purchasing savings means that..
a- a reduction in money tied up in inventory improves profits
b-a reduction in purchase spend increases profits more than an equal sales increase
c-effective price negotiation with a supplier will reduce a supplier's profit
d-the buyer gains leverage over suppliers as purchases are standardized
9-Partners that can help a firm conduct International Purchasing include all of these except...
a-Import Brokers
b-Stock Brokers
c-Trading Companies
d-Import Merchants
10. Using the Key steps of the Basic Purchasing Process, cite an example of an industrial purchase
# 3
69 +
4
G Search or type URL
do LO
%
MacBook Pro
5
6
&
7
8
+
Transcribed Image Text:d c-reducing annual spend d-improving process efficiency e-all of the above 8-The profit-leverage effect of purchasing savings means that.. a- a reduction in money tied up in inventory improves profits b-a reduction in purchase spend increases profits more than an equal sales increase c-effective price negotiation with a supplier will reduce a supplier's profit d-the buyer gains leverage over suppliers as purchases are standardized 9-Partners that can help a firm conduct International Purchasing include all of these except... a-Import Brokers b-Stock Brokers c-Trading Companies d-Import Merchants 10. Using the Key steps of the Basic Purchasing Process, cite an example of an industrial purchase # 3 69 + 4 G Search or type URL do LO % MacBook Pro 5 6 & 7 8 +
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