Samantha works in the purchasing office of Delittle plc, which is a small business providing computer equipment to the UK market. Samantha is responsible for buying the printers which Delittle plc later sells on to its customers. She is responsible for creating purchase orders as well as selecting the models of printers which the business holds in its inventory. REQUIRED:

a. Identify 6 pieces of data that you would expect to find on a purchase order.

b. What is the difference between capital and revenue expenditure? Are the printers bought by Samantha capital or revenue expenditure? [6 marks] c. What is due diligence in the purchasing process and what is its purpose? Identify 4 specific pieces of information that Samantha may wish to obtain from potential suppliers as part of this process.

d. What happens if Samantha orders too many printers for the level of customer demand? Is this better or worse than ordering too few?

e. What is a purchase requisition and what purpose does it serve in the internal control of a company?