Asset Management

Question 1

AFTR

Answer 1

Automated Fuel and Tax Reporting

Question 2

Available Capital

Answer 2

Money that is allocated for specific purposes

Question 3

B4A

Answer 3

Before Advertisement

Question 4

BAFO

Answer 4

Best and Final Offer

Question 5

BARFO

Answer 5

Best and Revised Offer

Question 6

Benchmarking

Answer 6

The comparison of performance of one organization to other organizations.

Question 7

Bid Document Boilerplate

Answer 7

Lists the rules of a proposal or contract

Question 8

Bulk Incentive Structures

Answer 8

The purchase at one time, and often at a reduced price, of a large quantity of a particular commodity.

Question 9

Component Rebate

Answer 9

Discount given for special equipment added to vehicle orders.

Question 10

Cost-Benefit analysis

Answer 10

This is the analysis of the costs and benefits as associated with a particular course of actions (such as purchasing a vehicle)

Question 11

Dealer Invoice

Answer 11

The invoice amount the dealer pays the manufacturer for a specific vehicle, not to be confused with the dealers “actual” cost for the vehicle.

Question 12

Direct Dealer Stock

Answer 12

Vehicles that are available on a lot or from a dealer

Question 13

Factory Stock

Answer 13

Vehicles that are ordered directly from the manufacture bypassing a dealer.

Question 14

FASB

Answer 14

Financial Accounting Standards Board; regulates accounting and reporting aspects of a transaction.

Question 15

Fleet Manager

Answer 15

Responsible for the fleet during it’s full life cycle.

Question 16

Holdback

Answer 16

An amount paid from the factory to the dealership to offset normal costs of doing business.

Question 17

Lease

Answer 17

Rental that, by contract, is cleared defined as to the length, cost and stipulations.

Question 18

Lein

Answer 18

The right to keep possessions of property belonging to another person until debt owed by that person is paid.

Question 19

MSPR

Answer 19

Manufacturers suggested retail price

Question 20

OEM

Answer 20

Original Equipment Manufactuer

Question 21

Open-end Lease

Answer 21

Generally one or two year minimum term but can be extended until the agreement is terminated.

Question 22

Performance Bond

Answer 22

Financial guarantee up-front protecting the buyer from vendor non-compliance.

Question 23

RFI

Answer 23

Request for Information - open enquiry that spans the market seeking broad data and understanding.

Question 24

RFP

Answer 24

Request for Proposal - Business requirements-based request for specific solutions

Question 25

RFQ

Answer 25

Request for Quotation - business process inviting suppliers to join the bidding process on a specific product or service.

Question 26

RFT

Answer 26

Request for Tender - opportunity for protentional supplies to submit an offer to supply goods or services against a detailed tender.

Question 27

Single Purchase Incentive Structures

Answer 27

To buy a product or service

Question 28

Strategic Sourcing

Answer 28

Organizational procurement and supply management process used to locate, develop, qualify and employ suppliers that add maximum value to the buyers’ products or services.

Question 29

TRAC

Answer 29

Terminal Rental Adjustment Clauses - Usually included in open ended leases, tying the leasee to whatever difference may exist between the book and selling values of a unit upon Remarketing.

Question 30

Threshold Incentive Structures

Answer 30

Minimum or Maximum value which serves as a benchmark for comparison or guidance and any breach of which may call for a complete review of the situation or a redesign of a system.

Question 31

Triple Net Cost

Answer 31

Manufacture-to-dealer invoice price less holdback less advertising & financing. (Invoice - Holdback - Advertising- Financing = Triple Net Cost)

Question 32

True Cost of Capital

Answer 32

The cost of funds used for financing a business or a function of business.

Question 33

Volume Rebate

Answer 33

Discount given for ordering a number of vehicles/units at the same time.

Question 34

Performance Improvements

Answer 34

Improving cycle time, cost, quality and delivery performance.