Question 1

Discuss the linkage between quality and productivity.

Accepted Answer

Cost,quality,and productivity are all li

Question 2

Information about Hinze Corporation is as follows:
$$\begin{array} { l r r } 
&20 \times 1&20 \times 2\
\text { Output (urits) } & 40,000 & 42,000 \
\text { Selling price per unit } & \$ 25 & \$ 25 \
\text { Input quantites: } & & \
\text { Materials (kg) } & 2,000 & 2,000 \
\text { Labour (hours) } & 1,600 & 1,625 \
\text { Input prices: } & & \
\text { Materials (per kg) } & \$ 5.00 & \$ 5.50 \
\text { Labour (per hour) } & 500 & \$ 7.50
\end{array}$$
-Refer to the figure.By how much did profits change as a result of changes in productivity related to labour?

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

How do we calculate the productivity ratio used as a partial operational productivity measure?

Accepted Answer

A) output/input 
B) input/output 
C) input/costs 
D) costs/input 
A) output/input 
B) input/output 
C) input/costs 
D) costs/input

Question 4

Information about Cheng Corporation is as follows:
$\begin{array}{lrr}
&20 \times 1 & 20 \times 2\
\text { Output (units) } & 14,000 & 15,000 \
\text { Selling price per unit } & \$ 16 & \$ 16 \
\text { Input quantities: } & & \
\quad \text { Materials (kg) } & 1,750 & 1,900 \
\text { Labour (hours) } & 1,400 & 1,525 \
\text { Input prices: } & & \
\quad \text { Materials (per kg) } & \$ 3 & \$ 4 \
\quad \text { Labour (per hour) } & \$ 6 & \$ 7
\end{array}$
-Refer to the figure.What is the partial operational measure for materials for 20X1?

Accepted Answer

A) 1.00 
B) 1.25 
C) 2.00 
D) 2.35 
A) 1.00 
B) 1.25 
C) 2.00 
D) 2.35

Question 5

The following information relates to Ramesy Manufacturing:
To produce a unit of product
$$\begin{array} { l l } 
\text { Cutting Deparment } & 5 \text { mintes per unit } \
\text { Welding Department } & 8 \text { minutes per unit } \
\text { Polishing Department } & 3 \text { minutes per unit } \
\text { Finishing Department } & 4 \text { minutes per unit }
\end{array}$$
There is a wait time of 5 minutes before the Cutting Department begins a batch, 15 minutes between the Cutting and Welding departments, a move and pre-wait between Welding and Polishing of 12 minutes, and a move and pre-wait between the Polishing and Finishing departments of 8 minutes.
-Refer to the figure.What is the cycle time of operation?

Accepted Answer

A) 16 minutes 
B) 20 minutes 
C) 35 minutes 
D) 60 minutes 
A) 16 minutes 
B) 20 minutes 
C) 35 minutes 
D) 60 minutes

Question 6

The following information relates to Markely Manufacturing:
$$\begin{array} { l l } 
\text { Mixing Department } & 2 \text { minutes per unit } \
\text { Moulding Department } & 4 \text { minutes per unit } \
\text { Casting Department } & 6 \text { minutes per unit } \
\text { Finishing Department } & 3 \text { minutes per unit }
\end{array}$$
There is a wait time of 8 minutes before the Mixing Department begins a batch, 5 minutes between the Mixing and Moulding departments, a move and pre-wait between Moulding and Casting of 10 minutes, and a move and pre-wait between the Casting and Finishing departments of 12 minutes.
-Refer to the figure.Which area represents the bottleneck operation?

Accepted Answer

A) finishing 
B) casting 
C) moulding 
D) mixing 
A) finishing 
B) casting 
C) moulding 
D) mixing

Question 7

What does the lean control system use to compare operational,capacity,and financial metrics with prior-week performances and with a future desired state?

Accepted Answer

A) a Balanced Scorecard 
B) a box scorecard 
C) a profit analysis worksheet 
D) a performance improvement plan 
A) a Balanced Scorecard 
B) a box scorecard 
C) a profit analysis worksheet 
D) a performance improvement plan

Question 8

Information about Cheng Corporation is as follows:
$\begin{array}{lrr}
&20 \times 1 & 20 \times 2\
\text { Output (units) } & 14,000 & 15,000 \
\text { Selling price per unit } & \$ 16 & \$ 16 \
\text { Input quantities: } & & \
\quad \text { Materials (kg) } & 1,750 & 1,900 \
\text { Labour (hours) } & 1,400 & 1,525 \
\text { Input prices: } & & \
\quad \text { Materials (per kg) } & \$ 3 & \$ 4 \
\quad \text { Labour (per hour) } & \$ 6 & \$ 7
\end{array}$
-Refer to the figure.What is the partial operational measure for labour for 20X1?

Accepted Answer

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

Question 9

At the end of 20X1, Gilley Company implemented a new labour process and redesigned its product with the expectation that input usage efficiency would increase. Now, at the end of 20X2, 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:
$\begin{array}{lrr}
&20 \times 1 & 20 \times 2\
\text { Output } & 30,000 & 36,000 \
\text { Output prices } & \$ 10 & \$ 10 \
\text { Materials (kg) } & 15,000 & 15,300 \
\text { Materials unit price } & \$ 3 & \$ 4 \
\text { Labour (hrs.) } & 12,000 & 11,250 \
\text { Labour rate per hour } & \$ 5 & \$ 5 \
\text { Power (kwh) } & 7,500 & 9,750 \
\text { Price per kwh } & \$ 2 & \$ 3
\end{array}$
-Refer to the figure.By how much did profit change as a result of profitability changes in labour?

Accepted Answer

A) $3,750 increase 
B) $15,750 decrease 
C) $15,750 increase 
D) $30,000 increase 
A) $3,750 increase 
B) $15,750 decrease 
C) $15,750 increase 
D) $30,000 increase

Question 10

Which of the following conditions is NOT an example of technical efficiencies?

Accepted Answer

A) more output; fewer inputs 
B) same output; fewer inputs 
C) more output; same inputs 
D) less output; less inputs 
A) more output; fewer inputs 
B) same output; fewer inputs 
C) more output; same inputs 
D) less output; less inputs

Question 11

Information about Blair Company is as follows:
$\begin{array}{lcr}
&20 \times 1 & 20 \times 2\
\text { Output (units) } & 10,000 & 9,300 \
\text { Input quantities: } & \
\text { Labour (hours) } &  4,000 & 3,875\
\text { Input prices: }\
\text { Labour (per hour)}&\$7&\$8
\end{array}$
-Refer to the figure.What is the partial operational productivity measure for labour for 20X1?

Accepted Answer

A) 0.4 
B) 2.4 
C) 2.5 
D) 2.8 
A) 0.4 
B) 2.4 
C) 2.5 
D) 2.8

Question 12

What is a box scorecard?

Accepted Answer

A) It compares operational,capacity,and financial metrics with a future desired state. 
B) It compares physical,capacity,and financial metrics with a future desired state. 
C) It compares operational,capacity,and external financial metrics with a future desired state. 
D) It compares operational,capacity,and financial metrics with a past state. 
A) It compares operational,capacity,and financial metrics with a future desired state. 
B) It compares physical,capacity,and financial metrics with a future desired state. 
C) It compares operational,capacity,and external financial metrics with a future desired state. 
D) It compares operational,capacity,and financial metrics with a past state.

Question 13

Information about Hinze Corporation is as follows:
$$\begin{array} { l r r } 
&20 \times 1&20 \times 2\
\text { Output (urits) } & 40,000 & 42,000 \
\text { Selling price per unit } & \$ 25 & \$ 25 \
\text { Input quantites: } & & \
\text { Materials (kg) } & 2,000 & 2,000 \
\text { Labour (hours) } & 1,600 & 1,625 \
\text { Input prices: } & & \
\text { Materials (per kg) } & \$ 5.00 & \$ 5.50 \
\text { Labour (per hour) } & 500 & \$ 7.50
\end{array}$$
-Refer to the figure.What is the labour productivity ratio for 20X1?

Accepted Answer

A) 25.00 
B) 24.80 
C) 24.00 
D) 22.84 
A) 25.00 
B) 24.80 
C) 24.00 
D) 22.84

Question 14

What is the definition of allocative efficiency?

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 15

What is the productivity measure that is expressed in physical terms?

Accepted Answer

A) financial productivity measure 
B) operational productivity measure 
C) partial productivity measurement 
D) productivity measurement 
A) financial productivity measure 
B) operational productivity measure 
C) partial productivity measurement 
D) productivity measurement

Question 16

Information about Hinze Corporation is as follows:
$$\begin{array} { l r r } 
&20 \times 1&20 \times 2\
\text { Output (urits) } & 40,000 & 42,000 \
\text { Selling price per unit } & \$ 25 & \$ 25 \
\text { Input quantites: } & & \
\text { Materials (kg) } & 2,000 & 2,000 \
\text { Labour (hours) } & 1,600 & 1,625 \
\text { Input prices: } & & \
\text { Materials (per kg) } & \$ 5.00 & \$ 5.50 \
\text { Labour (per hour) } & 500 & \$ 7.50
\end{array}$$
-Refer to the figure.By how much did profits change as a result of changes in productivity related to materials?

Accepted Answer

A) $550.00 decrease 
B) $550.00 increase 
C) $312.50 decrease 
D) $312.50 increase 
A) $550.00 decrease 
B) $550.00 increase 
C) $312.50 decrease 
D) $312.50 increase

Question 17

Information about Cheng Corporation is as follows:
$\begin{array}{lrr}
&20 \times 1 & 20 \times 2\
\text { Output (units) } & 14,000 & 15,000 \
\text { Selling price per unit } & \$ 16 & \$ 16 \
\text { Input quantities: } & & \
\quad \text { Materials (kg) } & 1,750 & 1,900 \
\text { Labour (hours) } & 1,400 & 1,525 \
\text { Input prices: } & & \
\quad \text { Materials (per kg) } & \$ 3 & \$ 4 \
\quad \text { Labour (per hour) } & \$ 6 & \$ 7
\end{array}$
-Refer to the figure.By how much did profits change as a result of changes in productivity related to materials?

Accepted Answer

A) $600 decrease 
B) $600 increase 
C) $100 decrease 
D) $100 increase 
A) $600 decrease 
B) $600 increase 
C) $100 decrease 
D) $100 increase

Question 18

The following information relates to Ramesy Manufacturing:
To produce a unit of product
$$\begin{array} { l l } 
\text { Cutting Deparment } & 5 \text { mintes per unit } \
\text { Welding Department } & 8 \text { minutes per unit } \
\text { Polishing Department } & 3 \text { minutes per unit } \
\text { Finishing Department } & 4 \text { minutes per unit }
\end{array}$$
There is a wait time of 5 minutes before the Cutting Department begins a batch, 15 minutes between the Cutting and Welding departments, a move and pre-wait between Welding and Polishing of 12 minutes, and a move and pre-wait between the Polishing and Finishing departments of 8 minutes.
-Refer to the figure.If Ramesy produces in batches of 10 units,how much time would have elapsed by the time the 10th unit is produced under a manufacturing cell environment (assuming the cell is processing continuously)?

Accepted Answer

A) 60 minutes 
B) 65 minutes 
C) 150 minutes 
D) 125 minutes 
A) 60 minutes 
B) 65 minutes 
C) 150 minutes 
D) 125 minutes

Question 19

At the end of 20X1, Gilley Company implemented a new labour process and redesigned its product with the expectation that input usage efficiency would increase. Now, at the end of 20X2, 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:
$\begin{array}{lrr}
&20 \times 1 & 20 \times 2\
\text { Output } & 30,000 & 36,000 \
\text { Output prices } & \$ 10 & \$ 10 \
\text { Materials (kg) } & 15,000 & 15,300 \
\text { Materials unit price } & \$ 3 & \$ 4 \
\text { Labour (hrs.) } & 12,000 & 11,250 \
\text { Labour rate per hour } & \$ 5 & \$ 5 \
\text { Power (kwh) } & 7,500 & 9,750 \
\text { Price per kwh } & \$ 2 & \$ 3
\end{array}$
-Refer to the figure.How much profit was generated in 20X1?

Accepted Answer

A) $300,000 
B) $213,300 
C) $180,000 
D) $120,000 
A) $300,000 
B) $213,300 
C) $180,000 
D) $120,000

Question 20

-Refer to the figure.If the materials costs for both products are $75 per unit produced,and conversion costs are $120 per hour,what is the per-unit cost of Product B under the features and approach costing method?

Accepted Answer

A) $81.75 
B) $87 
C) $91 
D) $195 
A) $81.75 
B) $87 
C) $91 
D) $195

Discuss the linkage between quality and productivity.

How do we calculate the productivity ratio used as a partial operational productivity measure?

What does the lean control system use to compare operational,capacity,and financial metrics with prior-week performances and with a future desired state?

Which of the following conditions is NOT an example of technical efficiencies?

Information about Blair Company is as follows: 20\times1 20\times2 Output (units) 10,000 9,300 Input quantities: Labour (hours) 4,000 3,875 Input prices: Labour (per hour) \7 \8 -Refer to the figure.What is the partial operational productivity measure for labour for 20X1?

What is a box scorecard?

What is the definition of allocative efficiency?

What is the productivity measure that is expressed in physical terms?

-Refer to the figure.If the materials costs for both products are $75 per unit produced,and conversion costs are $120 per hour,what is the per-unit cost of Product B under the features and approach costing method?

A: Basic Cost Management Concepts

B: Basic Cost Management Concepts

Cost Behaviour

Cost-Volume-Profit Analysis

Job-Order Costing Systems

Process Costing

Activity-Based Costing

Allocating Costs of Support Departments and Joint Products

Budgeting for Planning and Control

Standard Costing: a Functional-Based Control Approach

Responsibility Accounting,performance Evaluation,and Transfer Pricing

Tactical Decision Making

Pricing and Profitability Analysis

Strategic Cost Management

Activity-Based Management

The Balanced Scorecard: Strategic-Based Control

Quality and Environmental Cost Management

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

Filters

Exam 17: Lean Accounting and Productivity Measurement

Discuss the linkage between quality and productivity.

How do we calculate the productivity ratio used as a partial operational productivity measure?

What does the lean control system use to compare operational,capacity,and financial metrics with prior-week performances and with a future desired state?

Which of the following conditions is NOT an example of technical efficiencies?

Information about Blair Company is as follows: 20\times1 20\times2 Output (units) 10,000 9,300 Input quantities: Labour (hours) 4,000 3,875 Input prices: Labour (per hour) \7 \8 -Refer to the figure.What is the partial operational productivity measure for labour for 20X1?

What is a box scorecard?

What is the definition of allocative efficiency?

What is the productivity measure that is expressed in physical terms?

-Refer to the figure.If the materials costs for both products are $75 per unit produced,and conversion costs are $120 per hour,what is the per-unit cost of Product B under the features and approach costing method?

A: Basic Cost Management Concepts

B: Basic Cost Management Concepts

Cost Behaviour

Cost-Volume-Profit Analysis

Job-Order Costing Systems

Process Costing

Activity-Based Costing

Allocating Costs of Support Departments and Joint Products

Budgeting for Planning and Control

Standard Costing: a Functional-Based Control Approach

Responsibility Accounting,performance Evaluation,and Transfer Pricing

Tactical Decision Making

Pricing and Profitability Analysis

Strategic Cost Management

Activity-Based Management

The Balanced Scorecard: Strategic-Based Control

Quality and Environmental Cost Management

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

Filters