Kijana Msafi Hotel used a request fbr quotation (RFQ) to invite Imani Gas Suppliers to quote for
Question:
Kijana Msafi Hotel used a request fbr quotation (RFQ) to invite Imani Gas Suppliers to quote for supply of a cooker/oven with the capability of cooking using both liquid petroleum gas (LPG) and electricity in accordance with the user depaftments specifications. Imani Gas Suppliers responded with a quotation indicating that they could supply a cooker/oven capable of using electricity only.
Kijana Msafi Hotel raised a purchase order for the supply of the cooker/oven based on the quotation that was received from Imani Gas Suppliers. Imani Gas Suppliers proceeded to deliver the cooker/oven which was received by the stores department of Kijana Msafi Hotel. The head of procurement and stores at the hotel issued the cooker/oven to the user department, however, it was rejected by the user depaftment since it could only cook using electricity, yet the user department had indicated that they required a cooker/oven that could use both electricity and LPG, The Head of procurement and stores at the hotel contacted [mani Gas Suppliers with the intention of returning the cooker/oven since it did not meet the specifications, However, Imani Gas Suppliers declined to receive the returned cooker/ovem
(a) Discuss the legal position of Imani Gas Suppliers.
(b) Propose various ways in which Kijana Msafi Hotel could have prevented the occurrence of the above scenario.
Horngrens Cost Accounting A Managerial Emphasis
ISBN: 9780135628478
17th Edition
Authors: Srikant M. Datar, Madhav V. Rajan