ECONOMICS

Detailed explanation-1: -The purchasing agent is involved in the physical control of materials. The purchasing agent is responsible for the preparation of material requisitions and specifying the kind of materials of materials needed. The production supervisor is responsible for the preparation of requisition.

Detailed explanation-2: -Answer and Explanation: The form organized by the purchasing agent and sent to the seller to get material is known as purchase order.

Detailed explanation-3: -Purchase Requisition – the form used to notify the purchasing agent that materials are needed. Purchase Order – the purchase requisition that gives the purchasing agent authority to order the materials. Vendor’s Invoice – the invoice from the vendor that should be compared to the purchase order.

Detailed explanation-4: -Materials managers monitor the amount of inventory on hand to prevent excess or insufficient inventory. It can include a variety of goods, such as partially finished items, goods ready for sale and those used in production.

Detailed explanation-5: -A purchasing procedure outlines the process of obtaining goods and services through your supply chain. As a business, you need to purchase goods and services to meet your needs, in turn, meeting your customers’ needs. Customers want and expect quality in the services or products they purchase.