12 Questions
Supply management personnel often function as consultants in the procurement of equipment.
True
Retail sales outlets are a primary source of used equipment.
False
Financial leases are usually short-term.
False
Destructive testing should be conducted prior to purchasing used equipment.
False
Potential penalties are not usually included in a lease contract.
False
Firms utilize leases because they are not interested in ownership and want freedom and flexibility.
True
Supply management personnel play a passive role in the procurement of equipment.
False
Used equipment brokers are considered a primary source for acquiring used equipment.
True
Before purchasing used equipment, a buyer should conduct destructive testing on the equipment.
False
Operating leases are typically long-term agreements used to facilitate business operations.
False
The length of a financial lease is usually longer than the life of the equipment being leased.
False
Lease contracts typically include provisions for acceptance testing, inspection conditions, and guarantee conditions.
True
Test your knowledge on procurement of equipment with this quiz. Questions cover topics such as supply management functions, primary sources of used equipment, and factors to consider before purchasing used equipment.
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