32.
|
Statement: The Company X has
rejected first lot of values supplied by Company A and has cancelled its
entire huge order quoting use of inferior quality material and poor
craftsmanship.
Courses
of Action:
I.
The
Company A needs to investigate functioning of its purchase, production and
quality control departments.
II.
The
Company A should inspect all the valves rejected by Company X.
III.
The
Company A should inform Company X that steps have been taken for improvement
and renegotiate schedule of supply.
|
A.
|
Only I and II follow
|
B.
|
Only II follows
|
C.
|
II, and either I or III
follow
|
D.
|
All I, II and III
follow
|
E.
|
None of these
|
|
Answer: Option A
Explanation:
First of all, company A should inspect the
rejected valves to ensure if they are really sub-standard. If yes, it should
scrutinise its working thoroughly and remove its lackenings, be it in the
quality of raw material or craftsmanship. So, both I and II follow. III seems
to be a far-off action which can be implemented only after the first two steps
are put into practice. Thus, III does not follow,
