Exam 28: The Balanced Scorecard and Corporate Social Responsibility

Corporate social responsibility activities focus only on local issues.

Match the following descriptions of their use by management with the appropriate term (a or b). -Used by management to assess how well employees or units within a company meet the company's goals and objectives A)Performance measurement system B)Strategic performance measurement system

Which of the following statements regarding CSR and sustainability reporting is false?

Performance measurement systems are used to prepare tax information needed by the IRS to assess a company's taxable income.

It is important to gather meaningful accounting metrics to assess how well employees or units within a company meet the company's goals and objectives.

Operating income and cash flow are examples of metrics used to assess a company's financial condition.

Corporate social responsibility capital investment proposals can be analyzed using a variety of managerial accounting methods.

Corporate social responsibility efforts do not ever require significant capital investments.

Strategic performance measurement systems are commonly used by large companies around the world.

Performance in the customer perspective of the balanced scorecard often focuses on the ability to obtain customers.

Match the following descriptions and examples to these elements of the balanced scorecard (a or b). -Shows the expected cause-and-effect relationships among strategic objectives A)Measure maps B)Strategy maps

Describe scorecard cascading and when it is used.

Carli is a manager at PetsCo and is leading the development of the BSC for the company. She is correct in explaining to her development team that management may need to adjust its strategic objectives if their expectations regarding relationships between several strategic objectives are not supported by statistical analysis.

A form of CSR information that helps managers evaluate the savings generated by using fewer natural resources in a company's operations is known as a(n) _____ measure.

Johnson Lumber Mill produces various grades of cut boards from raw lumber. All of the following may be considered an initiative undertaken as a part of the company's CSR efforts except

Corporate social responsibility efforts may require significant capital investments.

Match the following descriptions and examples with the four performance perspectives in the balanced scorecard (a-d). -Focuses on research and development initiatives and employee training, retention, and satisfaction efforts A)Financial B)Internal processes C)Learning and growth D)Customer

Which of the following is false when evaluating capital investments tied to a CSR objective?

Cassie works at LoftCo, Inc., studying effective ways to retain the company's current customers. The performance measures she gathers include determining the number of customer returns each week. Cassie is focused on the internal processes perspective of the balanced scorecard performance management system.

James, an accountant at Forta Company, is preparing a report showing the production shift data for the previous day's production. This report will be shared with the production manager, Julia. This is an example of the role of managerial accounting at work.