ACCA Applied Knowledge · Business and Technology · The relationship between accounting and other business functions
Halden Foods' sales team has just won a large one-off order that requires delivery within two weeks. Which information flow from the production function to the sales function would have been most useful BEFORE the sales team accepted the delivery date?
Information on available production capacity and the current order schedule is most useful, because sales can only promise a realistic delivery date if it knows whether production has spare capacity. The other items do not affect the feasibility of delivery within two weeks.
- ADetails of available production capacity and current order scheduleCorrect
- BThe latest staff appraisal results for production workers
- CThe budgeted annual dividend for shareholders
- DThe list of overdue supplier invoices
Explanation
Sales needs to know whether production can realistically meet the promised date, which depends on spare capacity and the existing schedule. Appraisal results, dividend plans and overdue invoices have no direct bearing on whether the delivery date can be met.
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