Question 1

Customer satisfaction is measured by the percentage of returned orders and the number of customer complaints.

Accepted Answer

A) True 
 B)False  True

Question 2

The Deming Prize for quality originated in Japan.

Accepted Answer

A) True 
 B)False  True

Question 3

Using an MIS system to improve quality through quality control and quality assurance falls under which stage of the management process?

Accepted Answer

A) Planning 
B) Performing 
C) Evaluating 
D) Communicating 
A) Planning 
B) Performing 
C) Evaluating 
D) Communicating B

Question 4

Phelps Company manufactures custom-designed filtering equipment for swimming pools and tanks.In May 2014,the company had net sales of $895,000 and incurred the following costs of quality:   The costs of nonconformance to percentage of net sales was

Accepted Answer

A) 1.1% 
B) 2.9% 
C) 4.0% 
D) 4.5% 
A) 1.1% 
B) 2.9% 
C) 4.0% 
D) 4.5%

Question 5

The key to good quality control is to evaluate quality early enough so that changes are made before the product reaches the customer.

Accepted Answer

A) True 
 B)False

Question 6

The following data pertain to the past six months for Loveland Company:
 
Evaluate the three divisions' programs by:
a.Computing the costs of conformance and the costs of nonconformance of each division.
b.Computing conformance,nonconformance,and total quality costs as a percentage of sales for each division.
c.Identifying the division that is developing the strongest quality program.
d.Identifying the division that has been slowest to react to the management directive of TQM?
Defend your answers.Round percentages to two places beyond the decimal point.

Accepted Answer

a and b.
@#IMG-DLM& 
c.Each division is spending a

Question 7

Phelps Company manufactures custom-designed filtering equipment for swimming pools and tanks.In May 2014,the company incurred the following costs of quality:   Total quality costs of conformance for May were

Accepted Answer

A) $27,600. 
B) $11,600. 
C) $25,600. 
D) $22,100. 
A) $27,600. 
B) $11,600. 
C) $25,600. 
D) $22,100.

Question 8

The concept of quality can also embody such intangibles as brand prestige and life style.

Accepted Answer

A) True 
 B)False

Question 9

Which of the following ISO standards address minimizing the harmful environmental effects of business and continually improving environmental performance?

Accepted Answer

A) ISO 9000 
B) ISO 14000 
C) ISO 26000 
D) ISO 31000 
A) ISO 9000 
B) ISO 14000 
C) ISO 26000 
D) ISO 31000

Question 10

Which of the following is awarded to businesses and organizations in Europe that excel in quality management?

Accepted Answer

A) EFQM Excellence Award 
B) Deming Prize 
C) Malcolm Baldrige National Quality Award 
D) ISO 9000 Award 
A) EFQM Excellence Award 
B) Deming Prize 
C) Malcolm Baldrige National Quality Award 
D) ISO 9000 Award

Question 11

Name four categories of nonfinancial measures of quality and provide an example of each.

Accepted Answer

Answers should include 4 of the followin

Question 12

Quality in manufacturing simply means a product has to be dependable and free of defects.

Accepted Answer

A) True 
 B)False

Question 13

-Based on the graph above ,which company is the least serious about TQM?

Accepted Answer

A) A Co. 
B) B Co. 
C) C Co. 
D) Insufficient data to determine answer. 
A) A Co. 
B) B Co. 
C) C Co. 
D) Insufficient data to determine answer.

Question 14

A drawback of Six Sigma quality is diminishing worker moral.

Accepted Answer

A) True 
 B)False

Question 15

Name and describe one respected technique made popular by Six Sigma that allows managers to understand and measure quality improvements.

Accepted Answer

Student answers should name and describe

Question 16

The ISO promotes standardization with a view of facilitating the international exchange of goods and services.

Accepted Answer

A) True 
 B)False

Question 17

Low costs of conformance usually result in high costs of nonconformance.

Accepted Answer

A) True 
 B)False

Question 18

The costs of conformance are made up of

Accepted Answer

A) prevention costs and appraisal costs. 
B) internal failure costs and external failure costs. 
C) vendor performance and customer satisfaction. 
D) product design and production performance. 
A) prevention costs and appraisal costs. 
B) internal failure costs and external failure costs. 
C) vendor performance and customer satisfaction. 
D) product design and production performance.

Question 19

The company with the highest ratio of costs of conformance to total costs of quality is the most likely to succeed.

Accepted Answer

A) True 
 B)False

Question 20

Nonfinancial measures of quality include vendor performance.

Accepted Answer

A) True 
 B)False

Exam 26: Quality Management and Measurement

Customer satisfaction is measured by the percentage of returned orders and the number of customer complaints.

The Deming Prize for quality originated in Japan.

Using an MIS system to improve quality through quality control and quality assurance falls under which stage of the management process?

Phelps Company manufactures custom-designed filtering equipment for swimming pools and tanks.In May 2014,the company had net sales of $895,000 and incurred the following costs of quality: The costs of nonconformance to percentage of net sales was

The key to good quality control is to evaluate quality early enough so that changes are made before the product reaches the customer.

Phelps Company manufactures custom-designed filtering equipment for swimming pools and tanks.In May 2014,the company incurred the following costs of quality: Total quality costs of conformance for May were

The concept of quality can also embody such intangibles as brand prestige and life style.

Which of the following ISO standards address minimizing the harmful environmental effects of business and continually improving environmental performance?

Which of the following is awarded to businesses and organizations in Europe that excel in quality management?

Name four categories of nonfinancial measures of quality and provide an example of each.

Quality in manufacturing simply means a product has to be dependable and free of defects.

-Based on the graph above ,which company is the least serious about TQM?

A drawback of Six Sigma quality is diminishing worker moral.

Name and describe one respected technique made popular by Six Sigma that allows managers to understand and measure quality improvements.

The ISO promotes standardization with a view of facilitating the international exchange of goods and services.

Low costs of conformance usually result in high costs of nonconformance.

The costs of conformance are made up of

The company with the highest ratio of costs of conformance to total costs of quality is the most likely to succeed.

Nonfinancial measures of quality include vendor performance.

Uses of Accounting Information and the Financial Statements

Measurement Concepts: Recording Business Transactions

Measuring Business Income: Adjusting the Accounts

Foundations of Financial Reporting and the Classified Balance Sheet

Accounting for Merchandising Operations

Inventories

Cash and Internal Control

Receivables

Long-Term Assets

Current Liabilities and Fair Value Accounting

Long-Term Liabilities

Stockholders Equity

The Statement of Cash Flows

Financial Statement Analysis

Managerial Accounting and Cost Concepts

Costing Systems: Job Order Costing

Costing Systems: Process Costing

Value-Based Systems: Activity-Based Costing and Lean Accounting

Cost-Volume-Profit Analysis

The Budgeting Process

Flexible Budgets and Performance Analysis

Standard Costing and Variance Analysis

Short-Run Decision Analysis

Capital Investment Analysis

Pricing Decisions, including Target Costing and Transfer Pricing

Accounting for Unincorporated Businesses

Accounting for Investments

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