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INTRO PURCHASE & COST CONTROL

Total questions: 10

Worksheet time: 4mins

Name
Class
Date
1.

What is a purchase ?

a)

The buying of everything

b)

The buying of our needs and wants

c)

The buying of our personal needs

d)

the buying of goods or services

2.

How many types of Purchasing ?

a)

1

b)

2

c)

3

d)

4

3.

How many stages of the purchasing process?

a)

6

b)

7

c)

9

d)

8

4.

Why is Purchasing important ?

a)

To meet their needs on a regular basis

b)

To get competitive performance, profitability and overall efficiency

c)

To get the optimal benefit from the value for money spent

d)

All answers are correct

5.

What is the meaning of Cost Control ?

a)

A particular regulation by certain executive actions which result in the cutting of costs in uncertain operations of the company

b)

A particular system by certain executive actions which result in the expenses of the company

c)

A particular regulation by certain executive actions which result in the cutting of costs in certain operations of the company

d)

A particular policy by certain executive actions which result in the cutting of costs in certain operations of the company

6.

How many primary phases in the Cost Management System ?

a)

2

b)

3

c)

4

d)

5

7.

Why is Cost Control important ?

a)

To achieve a target set for the sales of the businesses

b)

To avoid the deviations, easily analyzed and take some corrective actions

c)

A method to reduce expenses / costs as low as possible and to get the targeted profit

d)

All answers are correct

8.

What are the advantages of implementing Cost Control?

Which of the four brothers below is wrong....

a)

Provides a yardstick for measuring performance

b)

Allows comparison

c)

Decreases debt

d)

Reduces the employees

9.

There are 4 primary phases in Cost management System : Resources Planning, ........................, Cost Budgeting, and Cost Control.

a)

Human Resources

b)

Money

c)

Cost Estimating

d)

Purchasing

10.

The opposite of a purchase is .............

a)

a Buying

b)

a Procuring

c)

a Shopping

d)

a sale