What is one of the key functions of the 'PURCHASE AND ACCOUNTS PAYABLE SUB-SYSTEM'?
Answer & explanation
Correct answer: option 2
The correct answer is option 2- Ordering of goods and tracking purchase expenses.
PURCHASE AND ACCOUNTS PAYABLE SUB-SYSTEM deals with the purchase and payments to creditors. It provides for ordering of goods, sorting of purchase expenses and payment to the creditors. It also generates periodic reports about the performance of suppliers, payment schedule and position of the creditors.