Question 1

Unlike ROI, managers cannot manipulate the numbers of EVA.

Accepted Answer

A) True 
 B)False

Question 2

What is becoming the business information system's global standard?

Accepted Answer

A)  ERP 
B)  SAP 
C)  GDP 
D)  TQM 
E)  ISO 9000 
A)  ERP 
B)  SAP 
C)  GDP 
D)  TQM 
E)  ISO 9000

Question 3

The end result of activity is known as

Accepted Answer

A)  measurement. 
B)  gratuity. 
C)  performance. 
D)  return on equity. 
E)  achievement. 
A)  measurement. 
B)  gratuity. 
C)  performance. 
D)  return on equity. 
E)  achievement.

Question 4

Which of the following is not a reason ERP could fail?

Accepted Answer

A)  insufficient tailoring of the software to fit the company 
B)  inadequate training 
C)  simplicity of system 
D)  insufficient implementation support 
E)  demands a high level of standardization 
A)  insufficient tailoring of the software to fit the company 
B)  inadequate training 
C)  simplicity of system 
D)  insufficient implementation support 
E)  demands a high level of standardization

Question 5

Which of the following is not one of the steps followed in the benchmarking process?

Accepted Answer

A)  Develop tactical programs for closing performance gaps. 
B)  Implement tactical programs, measure the results, and compare the results with those of the best-in-class company. 
C)  Implement activity-based costing. 
D)  Identify the area or process to be examined. 
E)  Calculate the differences among the company's performance measurements and those of the best-in-class company. 
A)  Develop tactical programs for closing performance gaps. 
B)  Implement tactical programs, measure the results, and compare the results with those of the best-in-class company. 
C)  Implement activity-based costing. 
D)  Identify the area or process to be examined. 
E)  Calculate the differences among the company's performance measurements and those of the best-in-class company.

Question 6

According to the text, using a long-term performance evaluation system, a company executive might be promised incentives such as

Accepted Answer

A)  company cars. 
B)  company stock. 
C)  health insurance. 
D)  retirement plans. 
E)  vacations. 
A)  company cars. 
B)  company stock. 
C)  health insurance. 
D)  retirement plans. 
E)  vacations.

Question 7

Which of the following is a way in which managers can improve their company's or business unit's EVA?

Accepted Answer

A)  earning more profit without using more capital 
B)  using more capital 
C)  investing capital in multiple low-return projects 
D)  extending their line of credit 
E)  divest a unit 
A)  earning more profit without using more capital 
B)  using more capital 
C)  investing capital in multiple low-return projects 
D)  extending their line of credit 
E)  divest a unit

Question 8

Discuss the guidelines for proper control.

Accepted Answer

The following guidelines are recommended

Question 9

ABC accounting allows accountants to charge costs more accurately than the traditional method because it allocates overhead far more precisely.

Accepted Answer

A) True 
 B)False

Question 10

A type of responsibility center which is typically established whenever an organizational unit has control over both its resources and its products or services is a(n)

Accepted Answer

A)  investment center. 
B)  revenue center. 
C)  expense center. 
D)  profit center. 
E)  standard cost center. 
A)  investment center. 
B)  revenue center. 
C)  expense center. 
D)  profit center. 
E)  standard cost center.

Question 11

Which of the following is not a guideline for proper control?

Accepted Answer

A)  Control should involve only a minimum amount of information. 
B)  Long-term as well as short-term controls should be used. 
C)  Controls should be timely so that corrective actions can be taken before it is too late. 
D)  Controls should measure all activities in order to be comprehensive. 
E)  Controls should emphasize the reward of meeting or exceeding standards rather than punishment for failing to meet standards. 
A)  Control should involve only a minimum amount of information. 
B)  Long-term as well as short-term controls should be used. 
C)  Controls should be timely so that corrective actions can be taken before it is too late. 
D)  Controls should measure all activities in order to be comprehensive. 
E)  Controls should emphasize the reward of meeting or exceeding standards rather than punishment for failing to meet standards.

Question 12

People tend to substitute behaviors that are recognized and rewarded for those behaviors that are ignored, without regard to their contribution to goal accomplishment.

Accepted Answer

A) True 
 B)False

Question 13

All of the following are examples of output controls EXCEPT

Accepted Answer

A)  sales quotas. 
B)  specific cost reduction objectives. 
C)  profit objectives. 
D)  getting to work on time. 
E)  surveys of customer satisfaction. 
A)  sales quotas. 
B)  specific cost reduction objectives. 
C)  profit objectives. 
D)  getting to work on time. 
E)  surveys of customer satisfaction.

Question 14

A survey of 600 business units found that compensation programs emphasizing bonuses and other incentives were most used in those units emphasizing

Accepted Answer

A)  stability strategies. 
B)  retrenchment strategies. 
C)  cooperative strategies. 
D)  international strategies. 
E)  growth strategies. 
A)  stability strategies. 
B)  retrenchment strategies. 
C)  cooperative strategies. 
D)  international strategies. 
E)  growth strategies.

Question 15

One example of a steering control used by retail stores is the inventory turnover ratio, which shows how hard an investment in inventory is working.

Accepted Answer

A) True 
 B)False

Question 16

What is the balanced scorecard? What are the four areas to be addressed?

Accepted Answer

The balanced scorecard combines financia

Question 17

What responsibility center is judged for effectiveness rather than efficiency?

Accepted Answer

A)  investment center 
B)  revenue center 
C)  standard cost center 
D)  profit center 
E)  expense center 
A)  investment center 
B)  revenue center 
C)  standard cost center 
D)  profit center 
E)  expense center

Question 18

RFID is an electronic tagging technology used to improve supply-chain efficiency in a number of companies.

Accepted Answer

A) True 
 B)False

Question 19

Which of the following is not one of the areas in which goals or objectives should be developed for use in the balanced scorecard approach?

Accepted Answer

A)  customer 
B)  innovation and learning 
C)  financial 
D)  stakeholder 
E)  internal business perspective 
A)  customer 
B)  innovation and learning 
C)  financial 
D)  stakeholder 
E)  internal business perspective

Question 20

Which method of matching rewards to the accomplishment of strategic objectives compensates managers for achieving objectives set over a multi-year period?

Accepted Answer

A)  strategic-funds method 
B)  segmentation method 
C)  long-term evaluation method 
D)  individual evaluation method 
E)  weighted-factor method 
A)  strategic-funds method 
B)  segmentation method 
C)  long-term evaluation method 
D)  individual evaluation method 
E)  weighted-factor method

Unlike ROI, managers cannot manipulate the numbers of EVA.

What is becoming the business information system's global standard?

The end result of activity is known as

Which of the following is not a reason ERP could fail?

Which of the following is not one of the steps followed in the benchmarking process?

According to the text, using a long-term performance evaluation system, a company executive might be promised incentives such as

Which of the following is a way in which managers can improve their company's or business unit's EVA?

Discuss the guidelines for proper control.

ABC accounting allows accountants to charge costs more accurately than the traditional method because it allocates overhead far more precisely.

A type of responsibility center which is typically established whenever an organizational unit has control over both its resources and its products or services is a(n)

Which of the following is not a guideline for proper control?

People tend to substitute behaviors that are recognized and rewarded for those behaviors that are ignored, without regard to their contribution to goal accomplishment.

All of the following are examples of output controls EXCEPT

A survey of 600 business units found that compensation programs emphasizing bonuses and other incentives were most used in those units emphasizing

One example of a steering control used by retail stores is the inventory turnover ratio, which shows how hard an investment in inventory is working.

What is the balanced scorecard? What are the four areas to be addressed?

What responsibility center is judged for effectiveness rather than efficiency?

RFID is an electronic tagging technology used to improve supply-chain efficiency in a number of companies.

Which of the following is not one of the areas in which goals or objectives should be developed for use in the balanced scorecard approach?

Which method of matching rewards to the accomplishment of strategic objectives compensates managers for achieving objectives set over a multi-year period?

Basic Concepts in Strategic Management

Corporate Governance

Social Responsibility and Ethics in Strategic Management

Environmental Scanning and Industry Analysis

Organizational Analysis and Competitive Advantage

Strategy Formulation: Business Strategy

Strategy Formulation: Corporate Strategy

Strategy Formulation: Functional Strategy and Strategic Choice

Strategy Implementation: Global Strategy

Strategy Implementation: Organizing and Structure

Strategy Implementation: Staffing and Directing

Suggestions for Case Analysis

Filters

Exam 12: Evaluation and Control

Unlike ROI, managers cannot manipulate the numbers of EVA.

What is becoming the business information system's global standard?

The end result of activity is known as

Which of the following is not a reason ERP could fail?

Which of the following is not one of the steps followed in the benchmarking process?

According to the text, using a long-term performance evaluation system, a company executive might be promised incentives such as

Which of the following is a way in which managers can improve their company's or business unit's EVA?

Discuss the guidelines for proper control.

ABC accounting allows accountants to charge costs more accurately than the traditional method because it allocates overhead far more precisely.

A type of responsibility center which is typically established whenever an organizational unit has control over both its resources and its products or services is a(n)

Which of the following is not a guideline for proper control?

People tend to substitute behaviors that are recognized and rewarded for those behaviors that are ignored, without regard to their contribution to goal accomplishment.

All of the following are examples of output controls EXCEPT

A survey of 600 business units found that compensation programs emphasizing bonuses and other incentives were most used in those units emphasizing

One example of a steering control used by retail stores is the inventory turnover ratio, which shows how hard an investment in inventory is working.

What is the balanced scorecard? What are the four areas to be addressed?

What responsibility center is judged for effectiveness rather than efficiency?

RFID is an electronic tagging technology used to improve supply-chain efficiency in a number of companies.

Which of the following is not one of the areas in which goals or objectives should be developed for use in the balanced scorecard approach?

Which method of matching rewards to the accomplishment of strategic objectives compensates managers for achieving objectives set over a multi-year period?

Basic Concepts in Strategic Management

Corporate Governance

Social Responsibility and Ethics in Strategic Management

Environmental Scanning and Industry Analysis

Organizational Analysis and Competitive Advantage

Strategy Formulation: Business Strategy

Strategy Formulation: Corporate Strategy

Strategy Formulation: Functional Strategy and Strategic Choice

Strategy Implementation: Global Strategy

Strategy Implementation: Organizing and Structure

Strategy Implementation: Staffing and Directing

Suggestions for Case Analysis

Filters