When large or expensive items are purchased, most organizations make use of a procedure to obtain competitive bids from multiple vendors. The document used to obtain competitive bids is called a(n):
A) purchase requisition
B) purchase order
C) request for quotation
D) authorization to bid

Question

Quizplus · Accepted Answer

A request for quotation (RFQ) is the document used to obtain competitive bids from multiple vendors. A purchase requisition is an internal document that requests the purchase of goods or services, while a purchase order is a document issued by a buyer to a supplier indicating the types, quantities, and agreed prices of products or services. An authorization to bid is not typically used in the procurement process.

When Large or Expensive Items Are Purchased, Most Organizations Make