Question 1

Differentiate between strategic objectives and strategic initiatives as used in the balanced scorecard.

Accepted Answer

Strategic objectives in the balanced sco

Question 2

Strategic learning results

Accepted Answer

A) not only by verifying strategic objective expectations but also by adjusting them when expected relationships are not supported by statistical analysis 
B) from confirming that a balanced scorecard is no longer necessary for the organization 
C) from verifying strategic objective expectations with statistical analysis 
D) from using only nonfinancial performance metrics 
A) not only by verifying strategic objective expectations but also by adjusting them when expected relationships are not supported by statistical analysis 
B) from confirming that a balanced scorecard is no longer necessary for the organization 
C) from verifying strategic objective expectations with statistical analysis 
D) from using only nonfinancial performance metrics

Question 3

A company's balanced scorecard may include

Accepted Answer

A) only nonfinancial metrics 
B) only financial metrics 
C) both nonfinancial and financial metrics 
D) neither nonfinancial nor financial metrics 
A) only nonfinancial metrics 
B) only financial metrics 
C) both nonfinancial and financial metrics 
D) neither nonfinancial nor financial metrics

Question 4

Briefly explain the role of a measure map as an element of the balanced scorecard. How is it different from a strategy map?

Accepted Answer

Measure maps show the expected relations

Question 5

To minimize common measures bias when developing divisional balanced scorecards for unique divisions within a corporation,

Accepted Answer

A) one division may focus more heavily on a subset of the four perspectives, for example on learning and growth and internal processes, while other divisions focus on different perspectives, such as customer and financial 
B) each division must focus equally on all four perspectives of the balanced scorecard 
C) the performance metrics should be treated as strategic objectives in and of themselves within each division 
D) it is important to stop gathering information when the results for the division look good 
A) one division may focus more heavily on a subset of the four perspectives, for example on learning and growth and internal processes, while other divisions focus on different perspectives, such as customer and financial 
B) each division must focus equally on all four perspectives of the balanced scorecard 
C) the performance metrics should be treated as strategic objectives in and of themselves within each division 
D) it is important to stop gathering information when the results for the division look good

Question 6

Nonfinancial performance measures in the balanced scorecard such as customer satisfaction are often _____ of future financial performance.

Accepted Answer

A) leading indicators 
B) lagging indicators 
C) poor indicators 
D) not considered an indicator 
A) leading indicators 
B) lagging indicators 
C) poor indicators 
D) not considered an indicator

Question 7

Briefly describe the concept of a performance measurement system.

Accepted Answer

Performance measurement systems are used

Question 8

Performance targets

Accepted Answer

A) provide goals for employees 
B) are never linked to incentive compensation 
C) are always linked to employee quarterly bonuses 
D) are an optional part of the balanced scorecard 
A) provide goals for employees 
B) are never linked to incentive compensation 
C) are always linked to employee quarterly bonuses 
D) are an optional part of the balanced scorecard

Question 9

Mason works at LoftCo, Inc., studying and improving operational efficiencies. The performance measures he gathers include determining the number of defective units produced in a week. Mason is focused on the internal processes perspective of the balanced scorecard performance management system.

Accepted Answer

A) True 
 B)False

Question 10

The balanced scorecard is named for its view of company performance focusing only on financial measures.

Accepted Answer

A) True 
 B)False

Question 11

One of the objectives of the four balanced scorecard performance perspectives is to help management focus on looking beyond typical financial measures of performance.

Accepted Answer

A) True 
 B)False

Question 12

Briefly explain the role of performance targets in the balanced scorecard.

Accepted Answer

Performance targets indicate t

Question 13

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

Accepted Answer

A) planting trees to replace those used by the mill 
B) donating lumber to the local community to construct a community center 
C) pursuing new product lines and expanding the customer base to increase profitability of the company 
D) investing funds in wind turbines or other renewable sources to provide energy to run the sawmill 
A) planting trees to replace those used by the mill 
B) donating lumber to the local community to construct a community center 
C) pursuing new product lines and expanding the customer base to increase profitability of the company 
D) investing funds in wind turbines or other renewable sources to provide energy to run the sawmill

Question 14

Bekah and Rafael, supervisors in the Human Resources Department at James Manufacturing, are tasked with determining appropriate performance metrics for the learning and growth perspective of their company's balanced scorecard. Which of the following is the best metric for this situation?

Accepted Answer

A) return on investment 
B) operating throughout 
C) material price variance 
D) hours of employee training offered each quarter 
A) return on investment 
B) operating throughout 
C) material price variance 
D) hours of employee training offered each quarter

Question 15

Which of the following is the best-known strategic performance measurement system?

Accepted Answer

A) product costing system 
B) lean management system 
C) standard cost system 
D) balanced scorecard 
A) product costing system 
B) lean management system 
C) standard cost system 
D) balanced scorecard

Question 16

An important consideration in establishing a measure map includes determining the

Accepted Answer

A) leading and lagging indicators 
B) mission of the organization 
C) standard costs of the products being manufactured 
D) net income of the company 
A) leading and lagging indicators 
B) mission of the organization 
C) standard costs of the products being manufactured 
D) net income of the company

Question 17

When CSR initiatives include the added dimension of ensuring the ability to meet current needs without compromising the ability of future generations to meet their needs, the CSR activities are referred to as

Accepted Answer

A) sustainability efforts 
B) sustainability balanced scorecard 
C) substantial efforts 
D) substantial initiatives 
A) sustainability efforts 
B) sustainability balanced scorecard 
C) substantial efforts 
D) substantial initiatives

Question 18

Motivated reasoning, surrogation, and common measures bias are three terms describing

Accepted Answer

A) strategic initiatives within the balanced scorecard framework 
B) three perspectives of the balanced scorecard 
C) cognitive or psychological biases that may impact decision making with the balanced scorecard 
D) mission-focused metrics commonly used in the implementation of the balanced scorecard 
A) strategic initiatives within the balanced scorecard framework 
B) three perspectives of the balanced scorecard 
C) cognitive or psychological biases that may impact decision making with the balanced scorecard 
D) mission-focused metrics commonly used in the implementation of the balanced scorecard

Question 19

Beaver Valley Oil Refinery produces various grades of petroleum products at its refinery operations. All of the following may be considered an initiative undertaken as a part of the company's CSR efforts except

Accepted Answer

A) installing equipment to reduce greenhouse gas emissions at its refinery operations 
B) donating heating fuel to the local community center so that it can host more community events and expand its outreach to the rural populations outside the city limits 
C) providing training to the accounting staff so they better understand FASB requirements for applying accounting standards for financial reporting 
D) investing funds in equipment to conserve water at all refinery operations 
A) installing equipment to reduce greenhouse gas emissions at its refinery operations 
B) donating heating fuel to the local community center so that it can host more community events and expand its outreach to the rural populations outside the city limits 
C) providing training to the accounting staff so they better understand FASB requirements for applying accounting standards for financial reporting 
D) investing funds in equipment to conserve water at all refinery operations

Question 20

Strategic initiatives are interchangeable with strategic objectives.

Accepted Answer

A) True 
 B)False

Exam 28: The Balanced Scorecard and Corporate Social Responsibility

Differentiate between strategic objectives and strategic initiatives as used in the balanced scorecard.

Strategic learning results

A company's balanced scorecard may include

Briefly explain the role of a measure map as an element of the balanced scorecard. How is it different from a strategy map?

To minimize common measures bias when developing divisional balanced scorecards for unique divisions within a corporation,

Nonfinancial performance measures in the balanced scorecard such as customer satisfaction are often _____ of future financial performance.

Briefly describe the concept of a performance measurement system.

Performance targets

Mason works at LoftCo, Inc., studying and improving operational efficiencies. The performance measures he gathers include determining the number of defective units produced in a week. Mason is focused on the internal processes perspective of the balanced scorecard performance management system.

The balanced scorecard is named for its view of company performance focusing only on financial measures.

One of the objectives of the four balanced scorecard performance perspectives is to help management focus on looking beyond typical financial measures of performance.

Briefly explain the role of performance targets in the balanced scorecard.

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

Bekah and Rafael, supervisors in the Human Resources Department at James Manufacturing, are tasked with determining appropriate performance metrics for the learning and growth perspective of their company's balanced scorecard. Which of the following is the best metric for this situation?

Which of the following is the best-known strategic performance measurement system?

An important consideration in establishing a measure map includes determining the

When CSR initiatives include the added dimension of ensuring the ability to meet current needs without compromising the ability of future generations to meet their needs, the CSR activities are referred to as

Motivated reasoning, surrogation, and common measures bias are three terms describing

Beaver Valley Oil Refinery produces various grades of petroleum products at its refinery operations. All of the following may be considered an initiative undertaken as a part of the company's CSR efforts except

Strategic initiatives are interchangeable with strategic objectives.

Introduction to Accounting and Business

Analyzing Transactions

The Adjusting Process

The Accounting Cycle

Accounting for Retail Businesses

Inventories

Internal Control and Cash

Receivables

Long-Term Assets: Fixed and Intangible

Liabilities: Current, Installment Notes, and Contingencies

Liabilities: Bonds Payable

Corporations: Organization, Stock Transactions, and Dividends

Statement of Cash Flows

Financial Statement Analysis

Introduction to Managerial Accounting

Job Order Costing

Process Cost Systems

Activity-Based Costing

Support Department and Joint Cost Allocation

Cost-Volume-Profit Analysis

Variable Costing for Management Analysis

Budgeting

Evaluating Variances From Standard Costs

Evaluating Decentralized Operations

Differential Analysis and Product Pricing

Capital Investment Analysis

Lean Manufacturing and Activity Analysis

Investments

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