1. What best describes e-procurement:

A. works best in long-term contract situations but is not suited for auctions.

B. is the same thing as Internet purchasing.

C. has many benefits but requires a lot of paperwork.

D. is illegal in all states except Nevada and New Jersey.

E. All of the above are true of e-procurement.

2. A large capacity cushion is appropriate when:

A. A make-to-stock process is used

B. A firm is attempting to capture market share in a growing industry

C. The market for its products or services is shrinking

D. A firm wants its capacity to match average demand