For non-current asset controls, which measure governs procurement by tender from approved suppliers?

For non-current asset controls, which measure governs procurement by tender from approved suppliers?

• A. Board approval
• B. Order by tender from approved suppliers
• C. Assets barcoded and secured
• D. Ownership records stored securely

Answer: (B)

Procurement controls for non-current assets aim to get value for money while keeping the process transparent and auditable. Requiring ordering by tender from approved suppliers sets the method for buying assets: purchases must go through a formal tender process with suppliers on an approved list. This encourages competitive bids, ensures fair terms, and creates a clear, traceable record of how the asset was acquired. It also helps prevent favoritism or non-compliant spending. Board approval provides governance sign-off but doesn’t specify how the purchase is conducted. Assets barcoded and secured and ownership records stored securely are about post-purchase asset protection and record-keeping, not the procurement method.

Procurement controls for non-current assets aim to get value for money while keeping the process transparent and auditable. Requiring ordering by tender from approved suppliers sets the method for buying assets: purchases must go through a formal tender process with suppliers on an approved list. This encourages competitive bids, ensures fair terms, and creates a clear, traceable record of how the asset was acquired. It also helps prevent favoritism or non-compliant spending.

Board approval provides governance sign-off but doesn’t specify how the purchase is conducted. Assets barcoded and secured and ownership records stored securely are about post-purchase asset protection and record-keeping, not the procurement method.