The finance department has forgotten to authorise the purchase of a large order of raw materials - OCR - GCSE Business - Question 9 - 2019 - Paper 1
Question 9
The finance department has forgotten to authorise the purchase of a large order of raw materials.
Which of the following is a likely consequence of this?
A. More mar... show full transcript
Worked Solution & Example Answer:The finance department has forgotten to authorise the purchase of a large order of raw materials - OCR - GCSE Business - Question 9 - 2019 - Paper 1
Step 1
B. Production may be delayed
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Answer
If the finance department does not authorize the purchase of necessary raw materials, this will likely lead to a shortage of materials needed for production. Consequently, production processes could be postponed or slowed down due to the unavailability of these materials. Delayed production can result in various negative ramifications, including missed deadlines, increased costs, and potential losses in sales.