Why is the placing of an order with a supplier not regarded as a transaction?

Name: Why is the placing of an order with a supplier not regarded as a transaction?
Brand: Quizplus
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Question

Quizplus · Accepted Answer

A transaction involves an exchange between two parties where each party gives and receives something of value. The placing of an order with a supplier is simply a request for goods or services and does not involve an actual exchange until the supplier fulfills the order and the entity pays for it. Therefore, it is not yet a transaction.

Why Is the Placing of an Order with a Supplier