Test 7

Test 7 - View Attempt...

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7 Started: July 18, 2010 5:26 PM Submitted: July 18, 2010 6:25 PM Time spent: 00:58:36 Total score: 85/100 = 85% Total score adjusted by 0.0 Maximum possible score: 100 1. Honesty You must type the following statement in order to take this test: "I have not discussed this test with anyone in any way. I realize that if I discuss this test with anyone in any, I have violated the Honor Code. Violation of the Honor Code is cheating." Student Response: I have not discussed this test with anyone in any way. I realize that if I discuss this test with anyone in any, I have violated the Honor Code. violation of the Honor Code is cheating. Comments: 2. Bonus for Friday Are you taking this test Friday at 9:30 PM or before? Is "yes", answer "true". Your five bonus points will be added manually so that the base for this test remains 100 points. Student Response Value Correct Answer False 0% True Comments: 3. 11-081 a) What is the major cost driver in the purchasing function? b) How can information technology be used to control this cost driver? Student Response: The major cost driver in the purchasing function is the number of purchase orders processed. Information technology can reduce costs by eliminating the clerical work associated with printing and mailing paper documents. The time between recognizing the need to reorder an item and subsequently receiving it is also reduced. Consequently, the risk of running out of stock is diminished, which can significantly increase profitability. Sample Correct Answer a) The major cost driver in the purchasing function is the number of purchase orders processed. b) The number of purchase orders can be reduced or streamlined by: Electronic data interchange (EDI) for transmitting purchase orders to vendors. Use procurement cards for small dollar and small quantity purchases of non-inventory items. Reduce clerical costs by using the Internet to perform certain purchasing functions. Use vendor-managed inventory programs to reduce purchasing and inventory costs. Implement reverse auctions and pre-award audits. General Feedback: a) The major cost driver in the purchasing function is the number of purchase orders processed. b) The number of purchase orders can be reduced or streamlined by: Electronic data interchange (EDI) for transmitting purchase orders to vendors. Use procurement cards for small dollar and small quantity purchases of non-inventory items. Reduce clerical costs by using the Internet to perform certain purchasing functions. Use vendor-managed inventory programs to reduce purchasing and inventory costs. Implement reverse auctions and pre-award audits. View Attempt http://webctap.gardner-webb.edu/webct/urw/lc8932375. .. 1 of 13
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Test 7 - View Attempt...

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