Exam 12: Activity-Based Management

When different units that perform the same types of activities within the same organization are compared to the unit with the best performance, this practice is called

Which of the following process dimensions of the activity-based management model deals with "why"?

Which of the following is NOT a reason for ABM implementation failure?

Which of the following process dimensions of the activity-based management model deals with "what"?

For each following activity, determine the amount of value-added and non-value-added costs.

A technique for improving performance of activities and processes that predicts activity costs as activity output changes is called

Rollo Company has developed cost formulas for the drivers of the following production activities: - The budgeted inspection cost for 20 setups is

Which of the following is NOT a necessary condition for classification as a value-added activity?

Each unit of product requires 16 pounds of material.Due to scrap and rework, each unit has been averaging 18 pounds of material.The material costs $4 per pound. -The non-value-added costs are

Rollo Company has developed cost formulas for the drivers of the following production activities: - If the actual activity was 20 setups and the actual fixed cost for inspections was $28,000 and the variable cost for inspections was $5,000, the total variance for inspections is

A firm's warranty costs are $225,000 per year.A competitor's warranty costs are $75,000 per year. -The value-added costs are

A company keeps 20 days of materials inventory on hand to avoid shutdowns due to materials shortages.Carrying costs average $4,000 per day.A competitor keeps 10 days of inventory on hand, and the competitor's carrying costs average $2,000 per day. -The non-value-added costs for the company are

The maintenance subcycle is defined by what sequence?

Which of the following is NOT part of the two-dimensional activity-based management model?

_______________ are awards made when performance is maintained or exceeds a specific measure.

A technique for improving performance of activities and processes that compares the number of times an activity can be performed to the number actually performed is called

Controlling the cost reduction process using Kaizen costing is accomplished

A firm's warranty costs are $225,000 per year.A competitor's warranty costs are $75,000 per year. -The non-value-added costs are

For non-value-added activities that are unnecessary, the standard quantity is

Friedrich Company has developed ideal standards for four activities: labor, materials, inspection, and receiving.Information is as follows: -The value-added costs for materials are