Bob Chum is the sales manager at Folding Squid Technologies.At lunch with the company CEO,he proudly announced that he had received a ______ from a client to buy a large quantity of components from Folding Squid.

Question

Quizplus · Accepted Answer

A purchase order is a document issued by a buyer indicating the type, quantity, and price of goods or services they wish to purchase from a seller. It is typically considered a binding agreement between the buyer and seller. As such, it is the most appropriate option given that Bob Chum announced that he had received an order for a large quantity of components from a client. Blanket purchase orders are used when the buyer needs to acquire multiple shipments over a period of time within a set dollar limit, so this is less likely given the scenario described. Receiving reports are used by the receiver of goods to indicate that they have received the goods in good condition, which is not relevant here. Debit and credit memos are used to indicate adjustments to accounts payable or accounts receivable and would not be used in this scenario.

Bob Chum Is the Sales Manager at Folding Squid Technologies