Question 1

In assessing the performance of a manager of a profit centre, which of the following would be an appropriate measure?

Accepted Answer

A)  Net profit margin 
B)  Income from operations 
C)  The centre's budget with actual performance 
D)  All of the above 
A)  Net profit margin 
B)  Income from operations 
C)  The centre's budget with actual performance 
D)  All of the above

Question 2

The Petrol House service station has introduced a balanced scorecard. The company wants to measure the amount of repeat business from customers. Which of the following measures would be most representative of this objective?

Accepted Answer

A)  Profit per new customer 
B)  Percentage of a day's sales per customer 
C)  Percentage of a day's sales to new versus existing customers 
D)  Profit per existing customer 
A)  Profit per new customer 
B)  Percentage of a day's sales per customer 
C)  Percentage of a day's sales to new versus existing customers 
D)  Profit per existing customer

Question 3

The Orange Bank measures each business unit's contribution to the bank's total revenue on a monthly basis. Which of the following classifications would best describe this KPI?

Accepted Answer

A)  Strategic and outcome 
B)  Strategic and driver 
C)  Operating and outcome 
D)  Operating and driver 
A)  Strategic and outcome 
B)  Strategic and driver 
C)  Operating and outcome 
D)  Operating and driver

Question 4

Non-financial measures of performance assess items such as customer satisfaction and employee morale.

Accepted Answer

A) True 
 B)False

Question 5

Agricola Ltd is a diversified entity that has several central departments to service its various operating divisions. These include payroll, accounting and finance, and legal departments. As the divisions have no alternative but to use these 'in-house' services, the charges are referred to as 'uncontrollable' charges.

Accepted Answer

A) True 
 B)False

Question 6

Fast Forward Pty Ltd. has been expanding into new markets in recent months. The CEO wishes to know what the sales revenue is from these new markets. This KPI is considered to be a:

Accepted Answer

A)  financial perspective. 
B)  customer perspective. 
C)  process perspective. 
D)  learning and growth perspective. 
A)  financial perspective. 
B)  customer perspective. 
C)  process perspective. 
D)  learning and growth perspective.

Question 7

It is primarily the non-financial measures in the internal business process and learning and growth perspectives of the balanced scorecard that drive future financial performance.

Accepted Answer

A) True 
 B)False

Question 8

Economic value is the economist's way to measure profit.

Accepted Answer

A) True 
 B)False

Question 9

In asking the question 'What do we need to do within the core processes of our business in order to develop our employees?' an entity is looking at which main perspective of a balanced scorecard system?

Accepted Answer

A)  Learning and growth perspective 
B)  Internal business process perspective 
C)  Customer perspective 
D)  Financial perspective 
A)  Learning and growth perspective 
B)  Internal business process perspective 
C)  Customer perspective 
D)  Financial perspective

In assessing the performance of a manager of a profit centre, which of the following would be an appropriate measure?

The Petrol House service station has introduced a balanced scorecard. The company wants to measure the amount of repeat business from customers. Which of the following measures would be most representative of this objective?

The Orange Bank measures each business unit's contribution to the bank's total revenue on a monthly basis. Which of the following classifications would best describe this KPI?

Non-financial measures of performance assess items such as customer satisfaction and employee morale.

Fast Forward Pty Ltd. has been expanding into new markets in recent months. The CEO wishes to know what the sales revenue is from these new markets. This KPI is considered to be a:

It is primarily the non-financial measures in the internal business process and learning and growth perspectives of the balanced scorecard that drive future financial performance.

Economic value is the economist's way to measure profit.

In asking the question 'What do we need to do within the core processes of our business in order to develop our employees?' an entity is looking at which main perspective of a balanced scorecard system?

Introduction to Accounting

Types of Organisations and the Financial Reporting Framework

Ethics and Corporate Governance

Wealth and the Measurement of Profit

Presentation of Financial Position and the Worksheet

Presentation of Financial Performance and the Worksheet

Presentation of Cash Flows

Accounting for Selected Assets

Liabilities and Sources of Financing

Financial Statement Analysis

Worksheet to Debits and Credits

An Introduction to Management Accounting: a Strategic Perspective

Costs and Cost Behaviour

Budgets

Cost-Volume-Profit Analysis

Accounting for Decision Making: With and Without Resource Constraints

Capital Investment Decisions

Filters

Exam 13: Performance Measurement and the Balanced Scorecard

In assessing the performance of a manager of a profit centre, which of the following would be an appropriate measure?

The Petrol House service station has introduced a balanced scorecard. The company wants to measure the amount of repeat business from customers. Which of the following measures would be most representative of this objective?

The Orange Bank measures each business unit's contribution to the bank's total revenue on a monthly basis. Which of the following classifications would best describe this KPI?

Non-financial measures of performance assess items such as customer satisfaction and employee morale.

Fast Forward Pty Ltd. has been expanding into new markets in recent months. The CEO wishes to know what the sales revenue is from these new markets. This KPI is considered to be a:

It is primarily the non-financial measures in the internal business process and learning and growth perspectives of the balanced scorecard that drive future financial performance.

Economic value is the economist's way to measure profit.

In asking the question 'What do we need to do within the core processes of our business in order to develop our employees?' an entity is looking at which main perspective of a balanced scorecard system?

Introduction to Accounting

Types of Organisations and the Financial Reporting Framework

Ethics and Corporate Governance

Wealth and the Measurement of Profit

Presentation of Financial Position and the Worksheet

Presentation of Financial Performance and the Worksheet

Presentation of Cash Flows

Accounting for Selected Assets

Liabilities and Sources of Financing

Financial Statement Analysis

Worksheet to Debits and Credits

An Introduction to Management Accounting: a Strategic Perspective

Costs and Cost Behaviour

Budgets

Cost-Volume-Profit Analysis

Accounting for Decision Making: With and Without Resource Constraints

Capital Investment Decisions

Filters