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A supplier asks for an unconditional release in exchange for a promise of payment next week. What should be used instead?

Correct Answer

D) Conditional release.

A conditional release matches a payment that has not yet been made or cleared.

Answer Options
A
Release payment based only on the contractor's assurance where a supplier asks for an unconditional release in exchange for a promise of payment next week, without confirming the payment-control documents in the file.
B
Accept an informal payment memo where a supplier asks for an unconditional release in exchange for a promise of payment next week, instead of collecting the document that supports the transaction.
C
Wait until final closeout to review claimant or insurance paperwork where a supplier asks for an unconditional release in exchange for a promise of payment next week.
D
Conditional release.

Why This Is the Correct Answer

A conditional release matches a payment that has not yet been made or cleared.

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