Question 1

Cody Paper Mill produces various grades of paper sheeting for industrial uses. 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 paper-making process 
B) improving worker health and safety efforts to reduce injuries in the workplace 
C) expanding the customer base to increase the net income of the company 
D) investing funds in equipment to reduce greenhouse gas emissions from its production facilities

Question 2

Sometimes a strategy map is referred to as a measure map.

Accepted Answer

A) True 
 B)False

Question 3

What are eco-efficiency measures?

Accepted Answer

The answer of What are eco-efficiency measures?...

Question 4

Mason works at LoftCo, Inc., in an operations department focused on the internal processes perspective of the balanced scorecard performance management system. It is critical that the work in this performance area is linked to at least one strategic objective within the company.

Accepted Answer

A) True 
 B)False

Question 5

Match the following descriptions and examples with the elements of the balanced scorecard (a-d).
-Levels or rates of improvement that management wants to achieve for performance metrics
A)Performance metrics
B)Strategic objectives
C)Performance targets
D)Strategic initiatives

Accepted Answer

The answer of Match the following descriptions and examples with...

Question 6

Which of the following best describes a strategic performance measurement system?

Accepted Answer

A) A strategic performance measurement system defines and links strategic objectives to the stock price of a company. 
B) A strategic performance measurement system defines and links strategic objectives to the performance metrics of a company. 
C) A strategic performance measurement system defines and links strategic objectives to the standard cost system of a company. 
D) A strategic performance measurement system defines and links strategic objectives to the bond rating of the company.

Question 7

Cody is a manager at Valvco and is creating a measure map. Cody is correct in assessing that if median training hours per employee predict the improvement of delivery times to the customer, then delivery times is the lagging indicator and median training hours per employee is the leading indicator.

Accepted Answer

A) True 
 B)False

Question 8

AnaCarolina and Jaco, executive managers at Duke Manufacturing, are tasked with determining appropriate performance metrics for the customer perspective of Duke'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) number of returns due to incorrect products shipped in response to orders

Question 9

Material price variances are examples of metrics used for measuring a purchasing department's performance.

Accepted Answer

A) True 
 B)False

Question 10

Performance measurement systems use externally imposed benchmarks of the competitive landscape to assess internal performance.

Accepted Answer

A) True 
 B)False

Question 11

Harrison Company uses a balanced scorecard approach to performance measurement, and company executives would like to integrate CSR activities into the company's core strategy. Which of the following statements regarding the appropriate way to make this integration work for Harrison is false?

Accepted Answer

A) Harrison may include CSR activities in a separate corporate social responsibility performance perspective. 
B) Harrison may integrate CSR strategic objectives into the four original perspectives of the BSC. 
C) Harrison will have to remove one of the original four perspectives from its BSC and include CSR activities in a separate performance perspective because the BSC can have a maximum of four perspectives. 
D) Integrating CSR activities into the BSC creates a sustainability balanced scorecard for Harrison.

Question 12

Alexander and Kristin are reviewing the statistical analysis for the performance metrics at their company, SafeChild Toys. Unfortunately, there is a lack of evidence that automating the warehouse has led to better inventory controls thereby providing better customer service. Alexander and Kristin should

Accepted Answer

A) automatically revise all strategic objectives because they are flawed 
B) review the performance metrics to make sure they are accurately measuring the strategic objectives 
C) implement a completely new balanced scorecard for SafeChild 
D) revoke performance bonuses and terminate the employees responsible for poor performance

Question 13

Match the following descriptions and examples with the elements of the balanced scorecard (a-d).
-Action plans that management implements to achieve the strategic objectives
A)Performance metrics
B)Strategic objectives
C)Performance targets
D)Strategic initiatives

Accepted Answer

The answer of Match the following descriptions and examples with...

Question 14

Metrics that are early in the value chain are normally considered to be _____ indicators.

Accepted Answer

A) value chain 
B) leading 
C) lagging 
D) reciprocal

Question 15

Evaluating employee performance and making strategic decisions are two examples of how managerial accounting information is used.

Accepted Answer

A) True 
 B)False

Question 16

Mila is helping to set performance targets for her company, Urban Supply. The target of increasing the company's online customer satisfaction rate by 1% in the next quarter is an example of a performance target focused on the customer perspective of the balance scorecard.

Accepted Answer

A) True 
 B)False

Question 17

Match the following descriptions with the correct term (a-c).
-Provides evidence of performance after activity has been completed
A)Leading indicator
B)Lagging indicator
C)BSC performance perspectives

Accepted Answer

The answer of Match the following descriptions with the correct...

Question 18

Performance in the financial perspective of the balanced scorecard focuses on satisfying customers.

Accepted Answer

A) True 
 B)False

Question 19

Corporate social responsibility efforts may be linked to the four perspectives of the balanced scorecard in a sustainability balanced scorecard.

Accepted Answer

A) True 
 B)False

Question 20

Waterfield Company is looking for a way to help its executive managers assess how the three divisions within the company are meeting the company's overall goals and objectives. The company is looking for a(n)

Accepted Answer

A) activity-based accounting system 
B) product costing system 
C) performance measurement system 
D) standard cost system

Exam 28: The Balanced Scorecard and Corporate Social Responsibility

Cody Paper Mill produces various grades of paper sheeting for industrial uses. All of the following may be considered an initiative undertaken as a part of the company's CSR efforts except

Sometimes a strategy map is referred to as a measure map.

What are eco-efficiency measures?

Mason works at LoftCo, Inc., in an operations department focused on the internal processes perspective of the balanced scorecard performance management system. It is critical that the work in this performance area is linked to at least one strategic objective within the company.

Match the following descriptions and examples with the elements of the balanced scorecard (a-d). -Levels or rates of improvement that management wants to achieve for performance metrics A)Performance metrics B)Strategic objectives C)Performance targets D)Strategic initiatives

Which of the following best describes a strategic performance measurement system?

Cody is a manager at Valvco and is creating a measure map. Cody is correct in assessing that if median training hours per employee predict the improvement of delivery times to the customer, then delivery times is the lagging indicator and median training hours per employee is the leading indicator.

AnaCarolina and Jaco, executive managers at Duke Manufacturing, are tasked with determining appropriate performance metrics for the customer perspective of Duke's balanced scorecard. Which of the following is the best metric for this situation?

Material price variances are examples of metrics used for measuring a purchasing department's performance.

Performance measurement systems use externally imposed benchmarks of the competitive landscape to assess internal performance.

Harrison Company uses a balanced scorecard approach to performance measurement, and company executives would like to integrate CSR activities into the company's core strategy. Which of the following statements regarding the appropriate way to make this integration work for Harrison is false?

Match the following descriptions and examples with the elements of the balanced scorecard (a-d). -Action plans that management implements to achieve the strategic objectives A)Performance metrics B)Strategic objectives C)Performance targets D)Strategic initiatives

Metrics that are early in the value chain are normally considered to be _____ indicators.

Evaluating employee performance and making strategic decisions are two examples of how managerial accounting information is used.

Mila is helping to set performance targets for her company, Urban Supply. The target of increasing the company's online customer satisfaction rate by 1% in the next quarter is an example of a performance target focused on the customer perspective of the balance scorecard.

Match the following descriptions with the correct term (a-c). -Provides evidence of performance after activity has been completed A)Leading indicator B)Lagging indicator C)BSC performance perspectives

Performance in the financial perspective of the balanced scorecard focuses on satisfying customers.

Corporate social responsibility efforts may be linked to the four perspectives of the balanced scorecard in a sustainability balanced scorecard.

Waterfield Company is looking for a way to help its executive managers assess how the three divisions within the company are meeting the company's overall goals and objectives. The company is looking for a(n)