Management Accounting - Study Mode
[#326] Balanced scorecard perspective focuses on all operations, which leads to value creation process for customers, can be categorized as
Correct Answer
(C) internal business process perspective
Explanation
Solution: Balanced scorecard perspective focuses on all operations, which leads to value creation process for customers, can be categorized as internal business process perspective. This perspective explains how the company is going to satisfy customer needs and meet financial goals.
[#327] Quantity of produced output is divided with cost of all used inputs to calculate
Correct Answer
(D) total factor productivity
Explanation
Solution: Quantity of produced output is divided with cost of all used inputs to calculate total factor productivity. Total factor productivity (TFP) is a measure of productivity calculated by dividing economy-wide total production by the weighted average of inputs i.e. labor and capital. It represents growth in real output which is in excess of the growth in inputs such as labor and capital.
[#328] In operating income strategic analysis, a component which measures change in operating income attributed to change in output quantity is classified as
Correct Answer
(B) growth component
Explanation
Solution: In operating income strategic analysis, a component which measures change in operating income attributed to change in output quantity is classified as growth component. Operating income is an accounting figure that measures the amount of profit realized from a business's operations, after deducting operating expenses such as wages, depreciation, and cost of goods sold (COGS).
[#329] An example of financial perspective in balanced scorecard is
Correct Answer
(C) operating income and revenue growth
Explanation
Solution: An example of financial perspective in balanced scorecard is operating income and revenue growth. For organisations that do not have shareholders, the financial perspective indicates how well the strategy and operations contribute to improving the organisation's financial health.
[#330] An ability of an organization, to offer its services or products that must be perceived by customers as unique and superior, in comparison to its competitors is called
Correct Answer
(B) product differentiation
Explanation
Solution: An ability of an organization, to offer its services or products that must be perceived by customers as unique and superior, in comparison to its competitors is called product differentiation. Product differentiation (or just differentiation) is a marketing process of differentiating an offering (product or service) from others in the market, to make it more appealing to the target audience.