Question 1

Information about Blair Company is as follows:  
- What is the partial operational productivity measure for materials for 2011?

Accepted Answer

A)  0.3125 
B)  0.6250 
C)  3.2000 
D)  3.2500 
A)  0.3125 
B)  0.6250 
C)  3.2000 
D)  3.2500

Question 2

Information about Hinze Corporation is as follows:   
-By how much did profits change as a result of changes in productivity related to labor?

Accepted Answer

A)  $550.00 decrease 
B)  $550.00 increase 
C)  $412.50 decrease 
D)  $412.50 increase 
A)  $550.00 decrease 
B)  $550.00 increase 
C)  $412.50 decrease 
D)  $412.50 increase

Question 3

_______________ is(are) a prior period used to set the benchmark for measuring productivity changes.

Accepted Answer

A)  Base period 
B)  Financial productivity measures 
C)  Operational productivity measures 
D)  Target period 
A)  Base period 
B)  Financial productivity measures 
C)  Operational productivity measures 
D)  Target period

Question 4

The features and characteristics approach

Accepted Answer

A)  focuses only on total quality, zero-defects. 
B)  recognizes the cost of a product is determined by the rate of flow of the product through the value stream. 
C)  recognizes the cost of a product is determined by the amount of labor time required to make the product. 
D)  recognizes the cost of a product is determined by the amount of machine hours required to make the product. 
A)  focuses only on total quality, zero-defects. 
B)  recognizes the cost of a product is determined by the rate of flow of the product through the value stream. 
C)  recognizes the cost of a product is determined by the amount of labor time required to make the product. 
D)  recognizes the cost of a product is determined by the amount of machine hours required to make the product.

Question 5

Which of the following is NOT considered a major source of waste?

Accepted Answer

A)  costs spent on defect detection 
B)  unnecessary movement of goods 
C)  unnecessary transport of goods 
D)  design of goods and services that don't meet the needs of the customer 
A)  costs spent on defect detection 
B)  unnecessary movement of goods 
C)  unnecessary transport of goods 
D)  design of goods and services that don't meet the needs of the customer

Question 6

Define what constitutes total productive efficiency, including a definition of technical efficiency and allocative efficiency.

Accepted Answer

Total productive efficiency is the point

Question 7

_______________ provides a series or vector of separate and distinct partial operational measures.

Accepted Answer

A)  Price recovery component 
B)  Profile measurement 
C)  Profit-linked productivity measurement 
D)  Total productivity measurement 
A)  Price recovery component 
B)  Profile measurement 
C)  Profit-linked productivity measurement 
D)  Total productivity measurement

Question 8

_______________ is the quantitative assessment of productivity changes.

Accepted Answer

A)  Financial productivity measure 
B)  Operational productivity measure 
C)  Technical efficiency 
D)  Productivity measurement 
A)  Financial productivity measure 
B)  Operational productivity measure 
C)  Technical efficiency 
D)  Productivity measurement

Question 9

If a facility has costs of $100,000 per year and 20,000 square feet, and if 19,000 square feet are absorbed by the value streams, what happens to the unabsorbed cost of the remaining 1,000 feet?

Accepted Answer

A)  allocated to all the value streams based on proportionate square foot usage 
B)  assigned to all value streams equally 
C)  absorbed by the largest value stream 
D)  deducted from revenue as a separate item 
A)  allocated to all the value streams based on proportionate square foot usage 
B)  assigned to all value streams equally 
C)  absorbed by the largest value stream 
D)  deducted from revenue as a separate item

Question 10

In the calculation of product costs for value streams with multiple products, units shipped instead of units produced is used as the denominator because

Accepted Answer

A)  it reduces conversion costs assigned to the value stream. 
B)  it motivates managers to reduce inventories. 
C)  units shipped are always greater than units produced. 
D)  units shipped is not used. 
A)  it reduces conversion costs assigned to the value stream. 
B)  it motivates managers to reduce inventories. 
C)  units shipped are always greater than units produced. 
D)  units shipped is not used.

Question 11

The lean control system uses a _______________ that compares operational, capacity, and financial metrics with prior week performances and with a future desired state.

Accepted Answer

A)  balanced scorecard 
B)  box scorecard 
C)  profit analysis worksheet 
D)  performance improvement plan 
A)  balanced scorecard 
B)  box scorecard 
C)  profit analysis worksheet 
D)  performance improvement plan

Question 12

The profit linkage rate

Accepted Answer

A)  calculates the cost of the inputs that would have been used in absence of any productivity change and compares it to the cost of the inputs actually used for the current period. 
B)  calculates the cost of the inputs that would have been used in absence of any productivity change and compares it to the cost of the inputs actually used for the prior period. 
C)  calculates the cost of the inputs that would have been used, plus any productivity changes and compares it to the cost of the inputs actually used for the current period. 
D)  calculates the cost of the outputs that would have been produced and compares it to the cost of outputs produced for the current period. 
A)  calculates the cost of the inputs that would have been used in absence of any productivity change and compares it to the cost of the inputs actually used for the current period. 
B)  calculates the cost of the inputs that would have been used in absence of any productivity change and compares it to the cost of the inputs actually used for the prior period. 
C)  calculates the cost of the inputs that would have been used, plus any productivity changes and compares it to the cost of the inputs actually used for the current period. 
D)  calculates the cost of the outputs that would have been produced and compares it to the cost of outputs produced for the current period.

Question 13

Figure 15-1 The following information relates to Markely Manufacturing:
To produce a unit of product:
  There is a wait time of 8 minutes before the mixing department begins a batch, 5 minutes between the mixing and molding departments, a move and pre-wait between molding and casting of 10 minutes, and a move and pre-wait between the casting and finishing departments of 12 minutes.
-
Refer to Figure 15-1.How long does it take to produce a batch of 20 units under a traditional manufacturing approach?

Accepted Answer

A)  335 minutes 
B)  300 minutes 
C)  15 minutes 
D)  none of these 
A)  335 minutes 
B)  300 minutes 
C)  15 minutes 
D)  none of these

Question 14

In a demand-pull system

Accepted Answer

A)  production is triggered by a forecast. 
B)  production is triggered by a customer order. 
C)  production is triggered by a vendor shipment. 
D)  production is triggered by an economic reorder point. 
A)  production is triggered by a forecast. 
B)  production is triggered by a customer order. 
C)  production is triggered by a vendor shipment. 
D)  production is triggered by an economic reorder point.

Question 15

Allocative efficiency can be defined as

Accepted Answer

A)  all non-value activities performed with minimal quantities needed to produce the given outputs. 
B)  elimination of all non-value-added activities. 
C)  input prices determining the relative proportions of each input that should be used. 
D)  input prices determining the relative proportions of each output that should be produced. 
A)  all non-value activities performed with minimal quantities needed to produce the given outputs. 
B)  elimination of all non-value-added activities. 
C)  input prices determining the relative proportions of each input that should be used. 
D)  input prices determining the relative proportions of each output that should be produced.

Question 16

Which of the following is an advantage of using partial productivity measures?

Accepted Answer

A)  Partial productivity measures keep managers aware of trade-offs in inputs. 
B)  Partial productivity measures keep top management involved because it is difficult for operating personnel to understand. 
C)  Partial productivity measures are easily interpreted. 
D)  Partial productivity measures provide a system wide focus. 
A)  Partial productivity measures keep managers aware of trade-offs in inputs. 
B)  Partial productivity measures keep top management involved because it is difficult for operating personnel to understand. 
C)  Partial productivity measures are easily interpreted. 
D)  Partial productivity measures provide a system wide focus.

Question 17

Identification of a "value stream," pursuit of perfection, and making value flow without interruption are examples of

Accepted Answer

A)  total quality management. 
B)  activity-based costing. 
C)  principles of lean thinking. 
D)  kanban processing. 
A)  total quality management. 
B)  activity-based costing. 
C)  principles of lean thinking. 
D)  kanban processing.

Question 18

Listed below are several possible combinations for producing 10,000 units of a lamp:
   Required:

Accepted Answer

The answer of Listed below are several possible combinations for...

Question 19

At the end of 2011, Gilley Company implemented a new labor process and redesigned its product with the expectation that input usage efficiency would increase.Now, at the end of 2012, the president of the company wants an assessment of the changes on the company's productivity.The data needed for the assessment are as follows:  
- What is the partial operational measure for labor for 2012?

Accepted Answer

A)  1.00 
B)  2.50 
C)  3.20 
D)  1.25 
A)  1.00 
B)  2.50 
C)  3.20 
D)  1.25

Question 20

Information about Holm Corporation is as follows:  
- What is the materials productivity ratio for 2012?

Accepted Answer

A)  28 
B)  25 
C)  20 
D)  16 
A)  28 
B)  25 
C)  20 
D)  16

Information about Blair Company is as follows: - What is the partial operational productivity measure for materials for 2011?

Information about Hinze Corporation is as follows: -By how much did profits change as a result of changes in productivity related to labor?

_______________ is(are) a prior period used to set the benchmark for measuring productivity changes.

The features and characteristics approach

Which of the following is NOT considered a major source of waste?

Define what constitutes total productive efficiency, including a definition of technical efficiency and allocative efficiency.

_______________ provides a series or vector of separate and distinct partial operational measures.

_______________ is the quantitative assessment of productivity changes.

If a facility has costs of $100,000 per year and 20,000 square feet, and if 19,000 square feet are absorbed by the value streams, what happens to the unabsorbed cost of the remaining 1,000 feet?

In the calculation of product costs for value streams with multiple products, units shipped instead of units produced is used as the denominator because

The lean control system uses a _______________ that compares operational, capacity, and financial metrics with prior week performances and with a future desired state.

The profit linkage rate

In a demand-pull system

Allocative efficiency can be defined as

Which of the following is an advantage of using partial productivity measures?

Identification of a "value stream," pursuit of perfection, and making value flow without interruption are examples of

Listed below are several possible combinations for producing 10,000 units of a lamp: Required:

Information about Holm Corporation is as follows: - What is the materials productivity ratio for 2012?

Introduction to Cost Management

Basic Cost Management Concepts

Cost Behavior

Activity-Based Costing

Product and Service Costing: Job-Order System

Process Costing

Allocating Costs of Support Departments and Joint Products

Budgeting for Planning and Control

Standard Costing: a Functional-Based Control Approach

Decentralization: Responsibility Accounting, Performance Evaluation, and Transfer Pricing

Strategic Cost Management

Activity-Based Management

The Balanced Scorecard: Strategic-Based Control

Quality and Environmental Cost Management

Cost-Volume-Profit Analysis

Activity Resource Usage Model and Tactical Decision Making

Pricing and Profitability Analysis

Capital Investment

Inventory Management: Economic Order Quantity, Jit, and the Theory of Constraints

Filters

Exam 15: Lean Accounting and Productivity Measurement

Information about Blair Company is as follows: - What is the partial operational productivity measure for materials for 2011?

Information about Hinze Corporation is as follows: -By how much did profits change as a result of changes in productivity related to labor?

_______________ is(are) a prior period used to set the benchmark for measuring productivity changes.

The features and characteristics approach

Which of the following is NOT considered a major source of waste?

Define what constitutes total productive efficiency, including a definition of technical efficiency and allocative efficiency.

_______________ provides a series or vector of separate and distinct partial operational measures.

_______________ is the quantitative assessment of productivity changes.

If a facility has costs of $100,000 per year and 20,000 square feet, and if 19,000 square feet are absorbed by the value streams, what happens to the unabsorbed cost of the remaining 1,000 feet?

In the calculation of product costs for value streams with multiple products, units shipped instead of units produced is used as the denominator because

The lean control system uses a _______________ that compares operational, capacity, and financial metrics with prior week performances and with a future desired state.

The profit linkage rate

In a demand-pull system

Allocative efficiency can be defined as

Which of the following is an advantage of using partial productivity measures?

Identification of a "value stream," pursuit of perfection, and making value flow without interruption are examples of

Listed below are several possible combinations for producing 10,000 units of a lamp: Required:

Information about Holm Corporation is as follows: - What is the materials productivity ratio for 2012?

Introduction to Cost Management

Basic Cost Management Concepts

Cost Behavior

Activity-Based Costing

Product and Service Costing: Job-Order System

Process Costing

Allocating Costs of Support Departments and Joint Products

Budgeting for Planning and Control

Standard Costing: a Functional-Based Control Approach

Decentralization: Responsibility Accounting, Performance Evaluation, and Transfer Pricing

Strategic Cost Management

Activity-Based Management

The Balanced Scorecard: Strategic-Based Control

Quality and Environmental Cost Management

Cost-Volume-Profit Analysis

Activity Resource Usage Model and Tactical Decision Making

Pricing and Profitability Analysis

Capital Investment

Inventory Management: Economic Order Quantity, Jit, and the Theory of Constraints

Filters