1. a) Put the following purchasing activities in a sequential order. Use the number 1 (for the first activity) to 7 (for the last activity) for each purchasing process. (7 Marks) i. ____ Select suppliers. ii. ____ Negotiate specific AP price, delivery schedule and other services. iii. ____ Establish the varieties and amounts of products and services required. iv. ____ Received, store and issue products. v. ____ Conduct the sourcing process. vi. ____ Determine policies and procedures to guide the purchasing function. vii. ____ Purchase products.

b) Citra does the buying for Lestari Resort, a medium scale hotel in the suburbs of Kuala Wawasan. Before she can place an order, she must get an approval from the owner of operation, Jebat Puteh. Many of the suppliers have become friendly with Jebat Puteh and often go directly to him when they make deliveries. In addition, Jebat Puteh is responsible for receiving, storing, issuing, and accounting. Identify THREE (3) possible problems that Jebat Puteh might face as a buyer for Lestari Resort. (3 Marks)