Which Default commitment type should you use?

You need to create a purchase agreement between your company and a supplier. The agreement will give you a 10 percent discount automatically on an item, after
you purchase $10,000 US dollars’ worth of that Item during a 12 month period.
Which Default commitment type should you use?

You need to create a purchase agreement between your company and a supplier. The agreement will give you a 10 percent discount automatically on an item, after
you purchase $10,000 US dollars’ worth of that Item during a 12 month period.
Which Default commitment type should you use?

A.
Product quantity commitment

B.
Value commitment

C.
Product value commitment

D.
Product category value commitment

Explanation:
There are four types of commitments:
Product quantity commitment You purchase a specific quantity of a product. Product value commitment You purchase a specific currency amount of a product.
Product category value commitment You purchase a specific currency amount in a procurement category. The amount can be for a catalog item or a non-catalog
item. Value commitment You purchase a specific currency amount of any product or in any procurement category.



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