Exam 11: Performance Evaluation and the Balanced Scorecard

The central reservation office at American Airlines is most likely treated as a(n):

The percentage of market share would be an example of measuring which perspective?

Selected financial data for The Plastic Lumber Company's Outdoor Furniture Division is as follows: Sales \ 2,100,000 Operating income \ 420,000 Total assets \ 1,050,000 Current liabilities \ 200,000 Target rate of return 12\% Weighted average cost of capital 10\% - What is The Plastic Lumber Company's Outdoor Furniture Division sales margin?

Which of the following goals of a performance evaluation system is accomplished when the company's actual results are compared to industry standards?

The manager of the Midwest sales region at Pace Food would be in charge of a(n):

Which of the following is the name given to the approach that recognizes that both financial and operational performance measures should be considered when evaluating company performance?

The accounting department for a department store chain is likely to be considered an investment center.

What will happen to return on investment (ROI)if selling and administrative expenses decrease while everything else remains the same?

The Tandem division of the Great Adventures Cycles Company had the following results last year (in thousands). Sales \ 4,000,000 Operating incare \ 480,000 Total assets \ 2,000,000 Current liabilities \ 300,000 Management's target rate of return is 10% and the weighted average cost of capital is 8%.Its effective tax rate is 40%. - What is the Tandem division's Return on Investment (ROI)?

Which of the following goals of a performance evaluation system is accomplished when subunit managers are provided with performance targets?

The number of new products developed would be an example of measuring which perspective?

Chardon had the following financial results for last month.What type of responsibility center do these financial results reflect? 11ea84ce_c526_4393_83dc_adbddb5255af

Residual Income (RI)equals operating income less minimum acceptable income.

The number of on-time deliveries would be an example of measuring which perspective?

Goal incongruence frequently exists in centralized organizations.

Assume the Cell Phone Division of the First Electronics Corporation had the following results last year (in thousands).Management's target rate of return is 10% and the weighted average cost of capital is 7%.Its effective tax rate is 30%. Sales \ 6,000,000 Operating income 900,000 Total assets 3,000,000 Current liabilities 750,000 - What is the division's Economic Value Added (EVA)?

The number of employee suggestions implemented and percentage of the sales force with access to real-time inventory levels would be examples of the:

Revenue center performance reports often highlight both the flexible budget variance and the sales volume variance.

Operations is one factor of the internal business perspective of the Balanced Scorecard.

The difference between amounts in the static budget and the flexible budget for a revenue center is caused by which of the following?