Costs that are incurred to find manufactured products, which does not meet specifications are called
A. prevention costs
B. external failure costs
C. appraisal costs
D. internal failure costs
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Reduction in setup time, manufacturing cycle efficiency and average time of manufacturing for key products are examples of
A. measures of growth and learning
B. measures of internal business processes
C. customer measures
D. financial measures
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Employees that are trained to manage bottlenecks, during production operations and employee satisfaction are related to
A. measures of growth and learning
B. measures of internal business processes
C. customer measures
D. financial measures
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Graph which plots series of successive observations of specific procedure, operation or step at regular time intervals is called
A. relevant costing diagram
B. cause and effect diagram
C. control chart
D. pareto diagram
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Timeframe between placement of order until a finished good produces is classified as
A. customer response time
B. manufacturing lead time
C. manufacturing cycle time
D. both b and c
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Total manufacturing time is multiplied to manufacturing cycle efficiency to calculate
A. manufacturing cycle efficiency
B. value added manufacturing time
C. responding time
D. delivery time
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Costs incur for defective products, before their shipment to customers can be categorized as
A. prevention costs
B. external failure costs
C. appraisal costs
D. internal failure costs
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Costs that are incurred to prevent low quality goods production are classified as
A. costs of quality
B. costs of learning
C. costs of reengineering
D. costs of spoilage inventory
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If total number of employees surveyed are 200 and employees that indicate higher rating for satisfaction are 195, then employee satisfaction would be
A. 94.00%
B. 93.00%
C. 95.00%
D. 97.50%
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On-time performance and customer-response time are examples of
A. customer measures
B. financial measures
C. measures of growth and learning
D. measures of internal business processes
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Types of costs of quality consist of
A. appraisal costs
B. internal and external failure costs
C. prevention costs
D. all of above
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If cost of direct materials use in goods sold is 5000 an d t o t a l r e v e n u es a r e 9000 then throughput contribution would be
A. $5,000
B. $14,000
C. $4,000
D. $9,000
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Time a company takes until a good is produced after order placement is known as
A. manufacturing lead time
B. manufacturing cycle efficiency
C. customer response time
D. system process time
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Factors identified by cause and effect diagrams include
A. component and material factors
B. machine-related factors
C. human factors
D. all of above
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Delivery of goods by time it is contracted to be delivered is known as
A. effective performance
B. efficient performance
C. in-time performance
D. on-time performance
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Value added manufacturing time is divided by total manufacturing is to calculate
A. value chain efficiency
B. value chain effectively
C. manufacturing cycle effectively
D. manufacturing cycle efficiency
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Chart which represents how regularly defect occurs in production process is classified as
A. relevant costing diagram
B. cause and effect diagram
C. control chart
D. Pareto chart
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If manufacturing cycle efficiency is 0.725 and total manufacturing time is 45 minute, then value added manufacturing time will be
A. 42.625
B. 36.724
C. 32.625
D. 41.625
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In response to challenges arisen by competitors and new entrants, strategy which must be considered by company does include
A. cost leadership
B. demand inelasticity
C. differentiated products
D. both a and c
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Considering two fiscal years 2013 and 2014, actual units sold in 2013 and 2014 are 11000 and 12500 units respectively, and selling price in year 2013 is $50, then revenue effect of growth will be
A. $70,000
B. $75,000
C. $65,000
D. $73,000
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