Chapter 12 test bank with answers Horngren\'s Cost Accounting: A Managerial Emphasis, 16th Global Edition PDF

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Cost Accounting: A Managerial Emphasis, 16e, Global Edition (Horngren)Chapter 12 Strategy, Balanced Scorecard, and StrategicProfitability Analysis12 Objective 12.1) Which of the following statements best define strategy? A) It describes how an organization can create value for its customers while di...

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Cost Accounting: A Managerial Emphasis, 16e, Global Edition (Horngren) Cha pt e r1 2 St r a t e gy , Ba l a nc e dSc or e c a r d, a ndSt r at e gi cPr ofit abi l i t yAna l ys i s 1 2 . 1 Obj e c t i ve1 2 . 1 1 )Whi c hoft hef ol l owi ngs t a t e me nt sbe s tde fines t r a t e gy ? A)I tde s c r i be sho wa nor ga ni z a t i onc a nc r e a t ev al uef ori t sc us t ome r swhi l edi ffe r e nt i a t i ngi t s e l ff r om i t sc ompe t i t or s . B)I ti sa nor ga ni z a t i on' sa bi l i t yt oa c hi e vel owe rc os t sr e l a t i vet oc ompe t i t or st hr oughpr oduc t i vi t ya nd e ffic i e nc yi mpr ove me nt s ,e l i mi na t i onofwa s t e ,a ndt i ghtc os tc ont r ol . C)I ti sa nor ga ni z a t i on' sa bi l i t yt ooffe rpr oduc t sors e r vi c e si t sc us t o me r spe r c e i vet obes upe r i ora nd uni quer e l a t i vet ot hepr oduc t sors e r vi c e sofi t sc ompe t i t or s . D)I tde s c r i be show a nor ga ni z a t i onmot i va t e si t se mpl oye e st owor kf ormor ehour swi t houta nyi nc r e a s e i nt he i rwa ge s . Ans we r :A Di ff: 2 Obj e c t i ve :1 AACS B:Anal yt i c alt hi nki ng

2 )I nge ne r a l ,pr ofitpo t e nt i a lofa nor ga ni z a t i onde c r e a s e swi t h_ _ _ _ _ _ _ _ . A)l e s s e rc ompe t i t i ona nds t r onge rpot e nt i a le nt r a nt s B)gr e a t e rc ompe t i t i ona nds t r onge rpot e nt i a le nt r a nt s C)l e s s e rc ompe t i t i ona ndwe a ke rpo t e nt i a le nt r a nt s D)gr e a t e rc ompe t i t i ona ndwe a ke rpo t e nt i a le nt r a nt s Ans we r :B Di ff: 2 Obj e c t i ve :1 AACS B:Anal yt i c alt hi nki ng

3 )Whi c hoft hef ol l owi ngs t a t e me nt sbe s tde fineapr oduc tdi ffe r e nt i a t i ons t r a t e gy ? A)I tde s c r i be sho wa nor ga ni z a t i onc a ni nc r e a s ec us t ome rba s eb ydi ffe r e nt i a t i ngi t s ' pr oduc tpr i c e sf r om i t sc ompe t i t or s . B)I ti sa nor ga ni z a t i on' sa bi l i t yt oa c hi e vel owe rc os t sr e l a t i vet oc ompe t i t or st hr oughpr oduc t i vi t ya nd e ffic i e nc yi mpr ove me nt s ,e l i mi na t i onofwa s t e ,a ndt i ghtc os tc ont r ol . C)I tde s c r i be sho wa nor ga ni z a t i onc a nde c r e a s epr oduc tpr i c e sb ydi ffe r e nt i a t i ngi t s ' r a w ma t e r i a l sf r om i t sc ompe t i t or s . D)I ti sa nor ga ni z a t i on' sa bi l i t yt ooffe rpr oduc t sors e r vi c e si t sc us t ome r spe r c e i vet obes upe r i ora nd uni quer e l a t i vet ot hepr oduc t sors e r vi c e sofi t sc ompe t i t or s . Ans we r :D Di ff: 2 Obj e c t i ve :1 AACS B:Anal yt i c alt hi nki ng

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4 )Whi c hoft hef ol l owi ngf oc us e sont he s efivef a c t or s :c ompe t i t or s ,pot e nt i a le nt r a nt st ot hema r ke t , e qui va l e ntpr oduc t s ,ba r ga i ni ngpowe rofc us t ome r s ,a ndba r ga i ni ngpo we rofs uppl i e r s ? A)ba l a nc e ds c or e c a r d B)pr oduc tdi ffe r e nt i a t i ona na l ys i s C)i ndus t r ya na l ys i s D)bus i ne s spr oc e s sr e e ngi ne e r i ng Ans we r :C Di ff: 2 Obj e c t i ve :1 AACS B:Anal yt i c alt hi nki ng

5 )Wha ti st het e r mt ha tde s c r i be sa nor ga ni z a t i on' sa bi l i t yt ooffe rpr oduc t sors e r vi c e st ha ta r epe r c e i ve d b yi t sc us t ome r sa sbe i ngs upe r i ora nduni quer e l a t i vet ot hos eofi t sc ompe t i t or s ? A)S t r a t e gy B)Pr oduc tdi ffe r e nt i a t i on C)Cos tl e a de r s hi p D)Theba l a nc e ds c or e c a r d Ans we r :B Di ff: 1 Obj e c t i ve :1 AACS B:Anal yt i c alt hi nki ng

6 )Wha ti st het e r mf ora nor ga ni z a t i on' sa bi l i t yt oa c hi e vel o we rc os t sr e l a t i vet oc ompe t i t or st hr ough pr oduc t i vi t ya nde ffic i e nc yi mpr ove me nt s ,e l i mi na t i onofwa s t e ,a ndt i ghtc os tc ont r ol ? A)Ma r ke t i ngs t r a t e gy B)Pr oduc tdi ffe r e nt i a t i on C)Cos tl e a de r s hi p D)Compe t i t ordi ffe r e nt i a t i on Ans we r :C Di ff: 1 Obj e c t i ve :1 AACSB:Ana l yt i c alt hi nki ng

7 )Anor ga ni z a t i ont ha ti sus i ngt hepr oduc tdi ffe r e nt i a t i ona ppr oa c hwoul dmos tl i ke l ydowhi c hoft he f ol l owi ng ? A)f oc usont i ghtc os tc ont r olt oc r e a t ear e put a t i onofs a vi ngi t sc us t ome r smone y B)us ei nnova t i ver e s e a r c ha ndde ve l opme nta ndde ve l ope ffe c t i vepr omot i ona lc a mpa i gnst oi nc r e a s e c us t ome rl o ya l t ya ndc ha r gehi ghe rpr i c e s C)pr ovi depr oduc t st ha ta r es i mi l a rt oc ompe t i t or s D)offe rpr oduc t sa tal owe rc os tt ha nc ompe t i t or s Ans we r :B Di ff: 2 Obj e c t i ve :1 AACSB:Ana l yt i c alt hi nki ng

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8 )Anor ga ni z a t i ont ha ti sus i ngt hec os tl e a de r s hi pa ppr oa c hwoul d_ _ _ _ __ _ _ . A)i nc urc os t sf ori nnova t i veR&D B)pr ovi depr oduc t sa tahi ghe rc os tt ha nc ompe t i t or s C)f oc usonpr oduc t i vi t yt hr oughe ffic i e nc yi mpr ove me nt s D)br i ngpr oduc t st oma r ke tr a pi dl y Ans we r :C Di ff: 2 Obj e c t i ve :1 AACSB:Ana l yt i c alt hi nki ng

9 )S t e wa r tCor por a t i onpl a nst ogr ow b yoffe r i ngas ounds ys t e m,t heSS 30 0 0 ,t ha ti ss upe r i ora nduni que f r om t hec ompe t i t i on.S t e wa r tbe l i e ve st ha tput t i nga ddi t i ona lr e s our c e si nt oR&Da nds t a yi nga he a dof t hec ompe t i t i onwi t ht e c hnol ogi c a li nno va t i onsi sc r i t i c a lt oi mpl e me nt i ngi t ss t r a t e gy .Whi c hoft he f ol l owi ngt e r msbe s tde s c r i be sS t e wa r t ' ss t r a t e gy ? A)pr oduc tdi ffe r e nt i a t i on B)s c a l a bi l i t y C)pr oduc tl e a de r s hi p D)c os tl e ade r s hi p Ans we r :A Di ff: 2 Obj e c t i ve :1 AACSB:Appl i c a t i onofknowl e dge

1 0 )Ma gi cCor por a t i onma nuf a c t ur e swa t e rt oys .I tpl a nst ogr ow b ypr oduc i nghi ghqua l i t ywa t e rt o ys t ha ta r ede l i ve r e di nat i me l yma nne r .The r ea r eanumbe rofot he rma nuf a c t ur e r swhopr oduc es i mi l a r wa t e rt oys .Ma gi cbe l i e ve st ha tc ont i nuous l yi mpr ovi ngi t sma nuf a c t ur i ngpr oc e s s e sa ndr e e ngi ne e r i ng pr oc e s s e st odo wns i z ea nde l i mi na t ee x c e s sc a pa c i t ya r ec r i t i c a lt oi mpl e me nt i ngi t ss t r a t e gy .Whi c hof t hef ol l owi ngbe s tde s c r i be sMa gi c ' ss t r a t e gy ? A)pr oduc tdi ffe r e nt i a t i on B)pr oduc tl e a de r s hi p C)c os tdi ffe r e nt i a t i on D)c os tl e ade r s hi p Ans we r :D Di ff: 2 Obj e c t i ve :1 AACSB:Appl i c a t i onofknowl e dge

1 1 )S t r a t e gyde s c r i be sho wa nor ga ni z a t i onma t c he si t so wnc a pa bi l i t i e swi t ht heoppor t uni t i e si nt he ma r ke t pl a c et oa c c ompl i s hi t sove r a l lobj e c t i ve s . Ans we r :TRUE Di ff: 1 Obj e c t i ve :1 AACSB:Ana l yt i c alt hi nki ng

1 2 )Oneoft hefivef or c e sofi ndus t r ya na l ys i si sunde r s t a ndt heba r ga i ni ngpo we rofc us t ome r s . Ans we r :TRUE Di ff: 1 Obj e c t i ve :1 AACSB:Ana l yt i c alt hi nki ng

1 3 )Hi ghe rs e l l i ngpr i c e s ,r a t he rt ha nuni quepr oduc t sors e r vi c e s ,pr o vi deac ompe t i t i vea dva nt a gef ort he c os tl e a de rc ompa ni e s . Ans we r :F ALS E Expl a na t i on:Lowe rs e l l i ngpr i c e s ,r a t he rt ha nuni quepr oduc t sors e r vi c e s ,pr o vi deac ompe t i t i ve a dv a nt a gef ort hec os tl e a de rc ompa ni e s . Di ff: 1 Obj e c t i ve :1

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AACSB:Ana l yt i c alt hi nki ng

1 4 )Anor ga ni z a t i onwhi c hus e spr oduc tdi ffe r e nt i a t i ons t r a t e gywi l lc ha r gehi ghe rpr i c e s . Ans we r :TRUE Di ff: 1 Obj e c t i ve :1 AACSB:Ana l yt i c alt hi nki ng

1 5 )Thec os tl e a de r s hi ps t r a t e gyi sf orpr oduc t sa nds e r vi c e st ha ta r es i mi l a rt oac ompe t i t or spr oduc t sa nd s e r vi c e s . Ans we r :TRUE Di ff: 1 Obj e c t i ve :1 AACSB:Ana l yt i c alt hi nki ng

1 6 )Thec os tl e a de r s hi ps t r a t e gyi sbe s tf orac ompa nyi ft hee ngi ne e r i ngs t a ffi smor es ki l l e da tc r e a t i ve l y de s i gni ngne w pr oduc t st ha na tma ki ngpr oc e s si mpr ove me nt s . Ans we r :F ALS E Expl a na t i on:Thec os tl e a de r s hi ps t r a t e gyi sbe s tf orac ompa nyi ft hee ngi ne e r i ngs t a ffi smor es ki l l e da t ma ki ngpr oc e s si mpr ove me nt st ha na tc r e a t i v e l yde s i gni ngne w pr oduc t s . Di ff: 2 Obj e c t i ve :1 AACSB:Ana l yt i c alt hi nki ng

1 7 )Cos t l e a de r s hi ps t r a t e gyus ua l l yf oc us e spr oduc t i vi t ya nde ffic i e nc yi mpr ove me nt s,e l i mi na t i onof wa s t ea l ongwi t he ffe c t i v ec os tc ont r ols ys t e ms . Ans we r :TRUE Di ff: 2 Obj e c t i ve :1 AACSB:Ana l yt i c alt hi nki ng

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1 8 )Bos e l yCor por a t i oni sr e vi e wi ngi t sbus i ne s ss t r a t e gy .Thefir s ts t e pf orBos e l yi st ope r f or ma n i ndus t r ya na l ys i s .Youha vebe e nhi r e dt ohe l pt hec ompa nygot hr ought hes t r a t e gyf or mul a t i onpr oc e s s . Re qui r e d: T ope r f or mt hei ndus t r ya na l ys i s ,wha ta r e a ss houl dBos e l yf oc usona ndgi vea tl e as tonee x a mpl eofhow Bos e l yc a ne ffe c t i ve l yde a lwi t he a c ha r e a . Ans we r :Thei ndus t r ya na l ys i si sc ompos e doffivea r e a s : 1 . Compe t i t or s-Ho wc ompe t i t i vei st hei ndus t r yf orBos e l y' spa r t i c ul a rpr oduc t?The yc a ndi ffe r e nt i a t e t hepr oduc tt or e duc ec ompe t i t i on. 2 . Pot e nt i a le nt r a nt st ot hema r ke t-How e a s yi si tf orne wc ompe t i t or st oj oi nt hema r ke t ?Cr e a t e ba r r i e r st oe nt r y ,s uc ha shi ghc a pi t a lr e qui r e me nt s . 3 . Equi va l e ntpr oduc t s-I st he r eas ubs t i t ut epr oduc ta va i l a bl e ?Ma kec ont i nuouspr oduc t i mpr ove me nt st or e duc el i ke l i hoodofe qui va l e ntpr oduc t s . 4 . Ba r ga i ni ngpo we rofc us t ome r s-How ma nys uppl i e r sc a nc us t ome r sa c c e s s ?Tr yt one got i a t el ongt e r m pur c ha s ea gr e e me nt s . 5 . Ba r ga i ni ngpo we rofi nputs uppl i e r s-Ho w ma nyr a w ma t e r i a lve ndor sa r et he r e ?Tr yt ofind a l t e r na t i ves uppl i e r sa ndne got i a t et hebe s tpr i c ef orr a w ma t e r i a l s . Di ff: 2 Obj e c t i ve :1 AACSB:Ana l yt i c alt hi nki ng

1 9 )Expl a i nt het e r mc os tl e a de r s hi p.Wha ta r et hepos s i bl ewa yst hr oughwhi c hac ompa nywoul dt r yt o be c omeac os tl e a de r ?How f a ri si tde s i r a bl et oi mpl e me ntc os tr e duc t i onme a s ur e s ? Ans we r :Cos tl e a de r s hi pi sa nor ga ni z a t i on' sabi l i t yt oa c hi e vel owe rc os t sr e l a t i vet oi t sc ompe t i t or s t hr oughpr oduc t i vi t ya nde ffic i e nc yi mpr ove me nt s ,e l i mi na t i onofwa s t e ,a ndt i ghtc os tc ont r ol .The s e c ompa ni e spr ovi depr oduc t sa nds e r vi c e st ha ta r es i mi l a rt o—notdi ffe r e nt i a t e df r om—t he i rc ompe t i t or s , buta tal o we rc os tt ot hec us t ome r .Lo we rs e l l i ngpr i c e s ,r a t he rt ha nuni quepr oduc t sors e r vi c e s ,pr ovi de ac ompe t i t i vea dva nt a gef ort he s ec os tl e a de r s .Toa c hi e vei t sc os t l e a de r s hi ps t r a t e gy ,c ompa ni e swoul d t r yt oi mpr ovei t so wni nt e r na lc a pa bi l i t i e s .I tmus te nha nc equa l i t ya nda l s or e e ngi ne e rpr oc e s s e st o downs i z ea nde l i mi na t ee x c e s sc a pa c i t yt or e duc ec os t s .Att hes a met i me ,i ti sno tde s i r a bl et oi mpl e me nt c os tr e duc t i onme a s ur e ss uc ha sc ompr omi s ei npr oduc tqua l i t y ,c ut si npe r s onne le t c ,a st he s eki ndof me a s ur e swoul dhur tc ompa nymor a l ea ndhi nde rf ut ur egr owt h. Di ff: 3 Obj e c t i ve :1 AACSB:Ana l yt i c alt hi nki ng

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1 2 . 2 Obj e c t i ve1 2. 2 1 )Whi c hoft hef ol l owi ngi nvol ve saf unda me nt a lr e t hi nki nga ndr e de s i gnofbus i ne s spr oc e s s e st o a c hi e vei mpr o ve me nt si nc r i t i c a lme a s ur e sofpe r f or ma nc e ? A)St r a t e gy B)Pr oduc tdi ffe r e nt i a t i on C)Pr oduc tde s i gni ng D)Re e ngi ne e r i ng Ans we r :D Di ff: 1 Obj e c t i ve :2 AACSB:Ana l yt i c alt hi nki ng

2 )Whi c hoft hef ol l owi nge ffor t swoul dmos tl i ke l yyi e l dt hegr e a t e s tr e e ngi ne e r i ngbe ne fit s ? A)f oc us i ngonas i ngl ea c t i vi t yt ode t e r mi nei fi ti sne c e s s a r y B)de c r e a s i ngqua nt i t yofout putpr oduc e dt oi nc r e a s et ot a lf a c t orpr oduc t i vi t y C)i nc r e a s i ngc os t sofa l li nput sus e dt oi nc r e a s et ot a lf a c t orpr oduc t i vi t y D)f oc us i ngone nt i r epr oc e s s e sa nde l i mi na t i onofunne c e s s a r ya c t i vi t i e sa ndt a s k Ans we r :D Di ff: 2 Obj e c t i ve :2 AACSB:Appl i c a t i onofknowl e dge

3 )Thef unda me nt a lr e t hi nki ngandr e de s i gnofbus i ne s spr oc e s s e st oa c hi e vei mpr ove me nt si nc r i t i c a l me a s ur e sofpe r f or ma nc e ,s uc ha sc os t ,qua l i t y ,s e r vi c e ,s pe e d,a ndc us t ome rs a t i s f a c t i oni s_ _ _ _ _ _ _ _ . A)di r e c t i ng B)c ont r ol l i ng C)r e e ngi ne e r i ng D)s t r uc t ur i ng Ans we r :C Di ff: 1 Obj e c t i ve :2 AACSB:Ana l yt i c alt hi nki ng

4 )Compa ni e swhi c hs t r i vet oa c hi e vec os tl e a de r s hi ps houl dne ve rt r yt oi mpl e me ntbus i ne s spr oc e s sr e e ngi ne e r i ngme a s ur e s . Ans we r :F ALS E Expl a na t i on:Compa ni e swhi c hs t r i vet oa c hi e vec os tl e a de r s hi pc a na l wa ysl ooka tbus i ne s spr oc e s s r e e ngi ne e r i ngme a s ur e st or e duc epr oc e s sc os t s . Di ff: 2 Obj e c t i ve :2 AACSB:Ana l yt i c alt hi nki ng

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5 )r e e ngi ne e r i ngbe ne fit sa r emos ts i gni fic a ntwhe nt he yf oc usononebus i ne s sf unc t i onr a t he rt ha n c r os s i ngf unc t i ona ll i ne soft hebus i ne s spr oc e s s . Ans we r :F ALS E Expl a na t i on:Re e ngi ne e r i ngbe ne fit sa r emos ts i gni fic a ntwhe nt he yc uta c r os sf unc t i ona ll i ne st of oc uson t hee nt i r ebus i ne s spr oc e s s . Di ff: 2 Obj e c t i ve :2 AACSB:Ana l yt i c alt hi nki ng

6 )Suc c e s s f ulr e e ngi ne e r i nge ffor t sge ne r a l l yi nvol vec ha ngi ngt her ol e sa ndr e s pons i bi l i t i e sofe mpl oye e s . Ans we r :TRUE Di ff: 1 Obj e c t i ve :2 AACSB:Ana l yt i c alt hi nki ng

7 )Wha ti sr e e ngi ne e r i ng.Ca ny ouc ont r a s tar e e ngi ne e r i nga ppr oa c ht oc ha ngewi t haka i z e na ppr oa c h t oc ha nge ? Ans we r :Re e ngi ne e r i ngi st her e t hi nki ngofbus i ne s spr oc e s s e s ,s uc ha st heor de rde l i ve r ypr oc e s s ,t o i mpr ovec r i t i c a lpe r f or ma nc eme a s ur e ss uc ha sc os t ,qua l i t y ,orc us t ome rs a t i s f a c t i on.I tc a nbec ont r a s t e d t oaka i z e na ppr oa c ht oc ha ngei nt ha tr e e ngi ne e r i ngi smos tof t e nas udde n,dr a s t i cc ha nge ,whi l ea ka i z e na ppr oa c hi nvol ve ss ma l l ,i nc r e me nt a lbutc ont i nua li mpr o ve me nt s . Di ff: 2 Obj e c t i ve :2 AACSB:Ana l yt i c alt hi nki ng

1 2 . 3 Obj e c t i ve1 2. 3 1 )Fe e dba c konhow ac ompa nyi sdoi ngf r om t hepe r s pe c t i ve soffina nc i a l ,c us t ome r ,i nt e r na lbus i ne s s pr oc e s s e s ,a ndl e a r ni nga ndgr owt h. A)Ma s t e rbudge t B)Pr oduc tdi ffe r e nt i a t i on C)Di ffe r e nt i a lr e por t D)Ba l a nc e ds c or e c a r d Ans we r :D Di ff: 1 Obj e c t i ve :3 AACSB:Ana l yt i c alt hi nki ng

2 )Whi c hoft hef ol l owi ngi snotc or r e c ta boutt heba l a nc e ds c or e c a r d? A)pr ofit sa ndva l uec r e a t e df ors ha r e hol de r sa r epe r s pe c t i ve sr e ve a l e donaba l a nc es c or e c a r d B)nonfina nc i a la ndope r a t i ona li ndi c a t or sa r er e por t e donaba l a nc es c or e c a r d C)t heba l a nc e ds c or e c a r dr e ve a l si nf or ma t i ona boutt hes uc c e s soft hec ompa nyi ni t st a r ge tma r ke t D)t heba l a nc es c or e c a r di nc r e as e sma na ge me nt se mpha s i sons hor t t e r mr e s ul t s Ans we r :D Di ff: 1 Obj e c t i ve :3 AACSB:Ana l yt i c alt hi nki ng

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3 )Thefir s ts t e pt os uc c e s s f ulba l a nc e ds c or e c a r di mpl e me nt a t i oni sc l a r i f yi ngt he_ _ _ _ _ _ __ . A)or ga ni z a t i on' svi s i ona nds t r a t e gy B)e l e me nt st ha tpe r t a i nt ova l ue a dde da s pe c t soft hebus i ne s s C)owne r ' se x pe c t a t i onsa boutr e t ur noni nve s t me nt D)obj e c t i ve sofa l lf ourba l a nc e ds c or e c a r dme a s ur e me ntpe r s pe c t i ve s Ans we r :A Di ff: 1 Obj e c t i ve :3 AACSB:Ana l yt i c alt hi nki ng

4 )I na ne ffe c t i veba l a nc e ds c or e c a r d,_ _ _ _ _ _ _ _ . A)ne ti nc omes e r ve sa st hebe s ti ndi c a t orf ort heha r dt ome a s ur el ongr unope r a t i ona lpe r f or ma nc e B)t hes a l e sbudge ts e r ve sa soneoft hel e a di ngi ndi c a t orf ort heha r dt ome a s ur es hor t r unfina nc i a l pe r f or ma nc e C)t hes a l e sbudge ts e r ve sa sal e a di ngi ndi c a t orf ort heha r dt ome a s ur es hor t r unnonfina nc i a l pe r f or ma nc e D)c us t ome rs a t i s f a c t i ons e r ve sa soneoft hel e a di ngi ndi c a t orf ort heha r dt ome a s ur el ongr unfina nc i a l pe r f or ma nc es uc ha st hel i ke l i hoodofhi ghe rs a l e sa ndi nc ome Ans we r :D Di ff: 2 Obj e c t i ve :3 AACSB:Ana l yt i c alt hi nki ng

5 )Whi c hoft hef ol l owi ngs t a t e me nt si st r ueofaba l a nc e ds c or e c a r d? A)Theba l anc e ds c or e c a r dr e duc e sma na ge r s ' e mpha s i sonl ongr unfina nc i a lpe r f or ma nc e . B)Theba l a nc e ds c or e c a r dr e duc e sma na ge r s ' e mpha s i sons hor t r unfina nc i a lpe r f or ma nc e . C)Thepr i ma r ygoa lofus i ngt heba l a nc e ds c or e c a r di st os us t a i ns hor t r unfina nc i a lpe r f or ma nc e . D)Thepr i ma r ygoa lofus i ngt heba l a nc e ds c or e c a r di st os us t a i ns hor t r unnonfina nc i a lpe r f or ma nc e . Ans we r :B Di ff: 2 Obj e c t i ve :3 AACSB:Ana l yt i c alt hi nki ng

6 )Whi c hoft hef ol l owi ngs t a t e me nt si st r ueoft hei nt e r na l bus i ne s s pr oc e s spe r s pe c t i veofabal a nc e d s c or e c a r d? A)I nt e r na l bus i ne s s pr oc e s spe r s pe c t i vei sc ompos e doft hr e es ubpr oc e s s e s :i nno va t i onpr oc e s s ;l e a r ni nga ndgr owt hpr oc e s s ;a ndpos ts a l e s s e r vi c epr oc e s s . B)I nt e r na l bus i ne s s pr oc e s spe r s pe c t i v ee va l ua t e st hepr ofit a bi l i t yoft hes t r a t e gya ndt hec r e a t i onof s ha r e hol de rva l ue . C)I nt e r na l bus i ne s s pr oc e s si mpr ove me ntt a r ge t sa r eof t e nde t e r mi ne da f t e rbe nc hma r ki nga ga i ns ta n or ga ni z a t i on' sma i nc ompe t i t or ss t a nda r ds . D)I nt e r na l bus i ne s s pr oc e s spe r s pe c t i vei sc ompos e doft hr e es ubpr oc e s s e s :ope r a t i onspr oc e s s ;l e a r ni nga ndgr owt hpr oc e s s ;a ndpos ts a l e s s e r vi c epr oc e s s . Ans we r :C Di ff: 3 Obj e c t i ve :3 AACSB:Ana l yt i c alt hi nki ng

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7 )Whi c hoft hef ol l owi ngs t a t e me nt sbe s tr e l a t e st ot heba l a nc e ds c or e c a r d' sfina nc i a lpe r s pe c t i ve ? A)How c a nwema x i mi z epr ofit sf ort hec ur r e ntye a r ? B)How c a nwei nc r e a s es ha r e hol de rv a l ue ? C)How wi l lwea c hi e vec ont i nuousi mpr ove me nt s ? D)Ho wc a nwema x i mi z ec us t ome rs a t i s f a c t i on? Ans we r :B Di ff: 2 Obj e c t i ve :3 AACSB:Ana l yt i c alt hi nki ng

8 )Whi c hoft hef ol l owi ngque s t i onsbe s tr e l a t e st ot heba l anc e ds c or e c a r d' si nt e r na lbus i ne s spr oc e s s e s pe r s pe c t i ve ? A)How dowes t r e a ml i neope r a t i onst ol o we rc os t st oi nc r e a s epr ofit s ? B)How dowemot i va t ee mpl o ye e ss ot ha tt he yc a nbe c omemor epr oduc t i ve ? C)How c a nwei nc r e a s eourma r ke t...