Procurement Costs Classification Quiz
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Questions and Answers

Which of the following is an example of a stock procurement?

  • Salaries for cleaning staff
  • Marketing costs
  • Raw materials for production (correct)
  • Office equipment
  • What is the difference between stock and non-stock procurement?

  • Stock procurement refers to tangible items that will be stored as inventory, while non-stock procurement refers to intangible items that won't be stored as inventory (correct)
  • Stock procurement refers to items that are directly associated with a job or contract, while non-stock procurement refers to items that are indirectly associated
  • Stock procurement refers to intangible items, while non-stock procurement refers to tangible items
  • Stock procurement refers to items that are indirectly associated with a job or contract, while non-stock procurement refers to items that are directly associated
  • What are indirect costs?

  • Costs that are directly associated with a job or contract
  • Costs that are allocated to inventory
  • Costs that are intangible
  • Costs that are not directly associated with a job or contract (correct)
  • What is an example of a non-stock direct cost?

    <p>Manufacturing equipment and maintenance</p> Signup and view all the answers

    What is an example of a stock indirect cost?

    <p>Rent for manufacturing space</p> Signup and view all the answers

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