Quality programs normally include a number of techniques to find and *yze problems. The technique commonly used to rank and *yze the individual and cumulative causes of defects is called a:
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1 .Anderson Corporation budgeted sales of 6,250 at $12 per unit but achieved sales of 5,000 at $15 per unit. Anderson would compute a selling price variance of:
A $3,750 B $0 C $18,750 D $15,000
2 .The only sales variance listed below that does not use contribution margin to compute results is:
A Sales volume variance B Market size variance C Market share variance D Sales price variance
3 .The performance measurement tool generally associated with the display of information evaluating multiple dimensions of business outcomes is referred to as the:
A Kaizen B Market value added C Return on Investment D Balanced scorecard
4 .A successful responsibility accounting reporting system is dependent upon:
A A reasonable separation of costs into their fixed and variable components since fixed costs is not controllable and must be eliminated from the responsibility report. B The correct allocation of controllable variable costs. C Identification of the management level at which all costs are controllab...
5 .According to COSO, which of the following is a compliance objective?
A To maintain material price variances within published guidelines. B To maintain a safe level of carbon dioxide emissions during production. C To maintain adequate staffing to keep overtime expense within budget. D To maintain accounting principles that conforms to GAAP.
7 .Conversion costs do not include:
A Indirect materials. B Indirect labor. C Direct materials. D Direct labor.
8 .Cost drivers are:
A A mechanical basis, such as machine hours, computer time, size of equipment, or square footage of factory, used to assign to activities. B Activities that cause costs to increase as the activity increases. C Accounting measurements used to evaluate whether or not performance is proceeding accordin...
9 .Regression analysis:
A Uses probability assumptions to determine total project costs. B Estimates the dependent cost variable. C Ignores the coefficient of determination. D Estimates the independent cost variable.
10 .Probability (risk) analysis is:
A Used only for situations in which the summation of probability weights is greater than one. B Incompatible with sensitivity analysis. C Used only for situations involving five or fewer possible outcomes. D An extension of sensitivity analysis.
