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You are the bookkeeper at a small merchandising firm. You are comparing the income statements from the last three years. You notice the Purchases Returns and Allowances account (as a percentage of net sales) has been increasing at an alarming rate. If you were a manager, who would you speak to in the organization to help you understand why so much merchandise is being returned?

2007-03-16 15:47:11 · 1 answers · asked by Anonymous in Business & Finance Corporations

1 answers

I would talk to the sales manager, and the purchasing manager. The key is finding out why the product is failing to meet customer expectations, and thus being returned. The sales manager would be in direct contact with the customers and could tell why customers are returning the product. The purchasing manager could inform me if we have changed product vendors, quality, or other key dimension that can affect the customer experience.

2007-03-16 18:24:38 · answer #1 · answered by MagicalMke 4 · 0 0

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