Match the terms in the left column with their appropriate definition in the right column....

Terms

Definitions

_____ 1. Economic order quantity (EOQ)

a. A document that creates a legal obligation to buy and pay for goods or services

_____ 2. Materials requirements planning (MRP)

b. The method used to maintain the balance in petty cash account

_____ 3. Just-in-time (JIT) inventory system

c. The time to reorder inventory triggered when the quantity on hand falls to a predetermined level

_____ 4. Purchase requisition

d. A document used to authorize a reduction in accounts payable because merchandise has been returned to a supplier

_____ 5. Imprest fund

e. An inventory control system that triggers production based upon actual sales

_____ 6. Purchase order

f. An inventory control system that triggers production based on forecasted sales

_____ 7. Kickbacks

g. A document used only internally to initiate the purchase of materials, supplies, or services

_____ 8. Procurement card

h. A process for approving supplier invoices based on a two-way match of the receiving report and purchase order

_____ 9. Blanket purchase order

i. A process for approving supplier invoices based on a three-way match of the purchase order, receiving report, and supplier invoice

_____ 10. Evaluated receipts settlement (ERS)

j. A method of maintaining accounts payable in which each supplier invoice is tracked and paid for separately

_____ 11. Disbursement voucher

k. A method of maintaining accounts payable that generates one check to pay for a set of invoices from the same supplier

_____ 12. Receiving report

l. Combination of a purchase order, receiving report, and supplier invoice that all relate to the same transaction

_____ 13. Debit memo

m. A document used to list each invoice being paid by a check

_____ 14. Vendor-managed inventory

n. An inventory control system that seeks to minimize the sum of ordering, carrying, and stockout costs

_____ 15. Voucher package

o. A system whereby suppliers are granted access to point-of-sale (POS) and inventory data in order to automatically replenish inventory levels

_____ 16. Nonvoucher system

p. An agreement to purchase set quantities at specified intervals from a specific supplier

_____ 17. Voucher system

q. A document used to record the quantities and condition of items delivered by a supplier

r. A special-purpose credit card used to purchase supplies

s. A fraud in which a supplier pays a buyer or purchasing agent in order to sell its products or services