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Supplies
The supplier is responsible for the delivery of goods/services that are ordered/contracted to him as per the order. However, purchaser has to ensure the goods are delivered on time. In case there are apprehensions about this purchase, the purchaser should try to assist the supplier to clear impediments if any, like amendment to purchase order, modifying the delivery schedule and so on. On many occasions the supplies have to be accelerated due to change in consumption patterns which needs intervention by purchase. In case of contracts, the project manager/site engineer plays a major role along with the contracts manager in timely execution of projects.
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A company manufactures and sells a single product. The variable cost of the product is Rs 2.50 per unit and all production each month is sold at a price of Rs 3.70 per unit. A pote
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