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The purpose of supplier pre-qualification is to identify suppliers that have the financial stability to...

The purpose of supplier pre-qualification is to identify suppliers that have the financial stability to assist in continuous supply. Is this statement TRUE?

A.

Yes, because profitability ratios are always used to determine the most suitable potential supplier

B.

Yes, although the sustainability of supply should be determined by considering other factors

C.

No, financial stability can be determined by accountants only

D.

No, the most important aspect of determining supplier suitability is by trial orders

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