Deck 13: Control Systems: Financial and Human

Question 1

Damage control with the customer is primarily the function of the human resources department.

Answer 1

False

Question 2

Throughout the systems process,feedback should be circulated among all the functional areas/departments to improve organizational performance.

Answer 2

True

Question 3

The three categories of control frequency are constant,periodic,and nonexistent.

Answer 3

False

Question 4

Standing plans are similar to standards in that they are both in constant use.

Question 5

Damage control is action taken to fix an output.

Question 6

Relying on rework control is not effective because it is more costly to do things twice than to do them right the first time.

Question 7

Controlling is the process of establishing and implementing mechanisms to ensure that objectives are achieved.

Question 8

Concurrent control is action taken to ensure that standards are met as inputs and are transformed into outputs.

Question 9

Unlike periodic controls,which involve set time intervals,occasional controls are used on a sporadic basis when needed.

Question 10

Concurrent control is designed to anticipate and prevent possible problems.

Question 11

Rework control is action taken to fix an output.

Question 12

There are two major types of audits: internal and external.

Question 13

The management audit analyzes the organization's planning,organizing,leading,and controlling functions to look for improvements.

Question 14

Standards measure performance levels in the areas of quantity,time,cost,and behavior.

Question 15

Constant controls include self-control,clan control,and standing plans.

Question 16

The exception principle can be used for concurrent control.

Question 17

The first step in the control systems process is to measure performance.

Question 18

Critical success factors (CSFs)are the limited number of areas in which satisfactory results will ensure successful performance,achieving the objective/standard.

Question 19

The four steps in the control systems process are (1)set objectives and standards,(2)measure performance,(3)correct,and (4)reinforce.

Question 20

Controls should be built into each stage of the systems process.

Question 21

Management counseling is corrective action to get employees to meet standards and standing plans.

Question 22

The balance sheet presents revenue and expenses and the profit or loss for the stated time period.

Question 23

Coaching is the process of giving motivational feedback to maintain and improve performance.

Question 24

The four primary financial statements are the income statement,balance sheet,cash flow statement,and debt-to-equity ratio statement.

Question 25

The operating budgets include all planned major asset investments.

Question 26

The major objective of discipline is to maintain authority when challenged.

Question 27

The first step in the master budgeting process is to develop the capital expenditures budget.

Question 28

The three steps in the coaching model are (1)describe current performance,(2)describe desired performance,and (3)describe consequences for not achieving desired performance.

Question 29

A budget is a planned quantitative allocation of resources for specific activities.

Question 30

Employee assistance programs (EAPs)give employees feedback so they realize that a problem is affecting their job performance.

Question 31

Facilitating means taking action to help employees get their jobs done.

Question 32

The progressive disciplinary steps are (1)oral warning,(2)written warning,(3)punishment,and (4)suspension.

Question 33

The operating controller is responsible for the budgeting process that results in a master budget for the entire organization.

Question 34

Management by walking around (MBWA)has three major activities: listening,coaching,and disciplining.

Question 35

The difference between the budget and actual statements is that the budget reports past results,whereas actual statements project future results.

Question 36

The capital expenditures budget is the most important budget because it is based on developing ways to bring in revenues through new and improved products and projects that will create customer value.

Question 37

The final step in the coaching model is to get a commitment to the change.

Question 38

The income statement commonly has two sections: operating and financial activities.

Question 39

The capital expenditures budget includes all planned major asset investments.

Question 40

Discipline is corrective action to get employees to meet standards and standing plans.

Question 41

__________ measure(s)performance levels in the areas of quantity,quality,time,cost,and behavior.

A) Standards
B) Critical success factors
C) Productivity
D) Budgeting

Question 42

__________ control is action taken to minimize negative impacts on customers/stakeholders due to faulty outputs.

A) Rework
B) Preliminary
C) Concurrent
D) Damage

Question 43

Throughout the systems process,__________ should be circulated among all the functional areas/departments to improve organizational performance.

A) information
B) data
C) feedback
D) control data

Question 44

Which of the following is NOT a step in the control systems process?

A) Set objectives and standards.
B) Measure performance.
C) Compare performance to standards.
D) Develop a plan.

Question 45

The __________ analyzes the organization's planning,organizing,leading,and controlling functions to look for improvements.

A) operating budget
B) capital expenditures budget
C) exception principle
D) management audit

Question 46

__________ is the process of establishing and implementing mechanisms to ensure that objectives are achieved.

A) Feedback
B) Budgeting
C) Controlling
D) Control frequency

Question 47

__________ control is action taken to fix an output.

A) Preliminary
B) Concurrent
C) Damage
D) Rework

Question 48

Which of the following is NOT a category of control frequency?

A) constant
B) random
C) periodic
D) occasional

Question 49

__________ control is designed to anticipate and prevent possible problems.

A) Preliminary
B) Concurrent
C) Rework
D) Damage

Question 50

When performance is complete and it is too late to take corrective action to meet the standard,the appropriate corrective action is to:

A) analyze why the standard was not met.
B) use the information to develop preliminary control.
C) feed back the preliminary control so as to take the corrective action necessary to meet the objective/standard next time.
D) do all of these

Question 51

Which of the following is NOT a periodic control?

A) audits
B) project controls
C) budgets
D) regular meetings and reports

Question 52

__________ control is action taken to ensure that standards are met as inputs are transformed into outputs.

A) Concurrent
B) Preliminary
C) Rework
D) Damage

Question 53

Which of the following is NOT an occasional control?

A) project controls
B) the exception principle
C) audits
D) observation

Question 54

The type of constant control that uses policies,procedures,and rules to influence employees' behavior in recurring,predictable situations is:

A) self-control.
B) clan control.
C) standing plans.
D) none of these

Question 55

The type of constant control that takes into consideration how much managers monitor how employees do the job is:

A) self-control.
B) clan control.
C) standing plans.
D) none of these

Question 56

The five steps in the discipline model are (1)refer to past feedback,(2)ask why the undesired behavior was used,(3)give the discipline,(4)get a commitment to change and develop a plan,and (5)summarize and state the follow-up.

Question 57

The __________ include the revenue and expense budgets.

A) master budgets
B) operating budgets
C) budget controllers
D) financial budgets

Question 58

The __________ is responsible for the budgeting process that results in a master budget for the entire organization.

A) finance operator
B) finance coordinator
C) finance controller
D) operating controller

Question 59

A __________ is the planned quantitative allocation of resources for specific activities.

A) resource allocation plan
B) master budget
C) capital expenditures budget
D) budget

Question 60

During the transformation process,__________ control is appropriate to use.

A) damage
B) rework
C) concurrent
D) preliminary

Question 61

Which of the following is NOT a step in the discipline model?

A) Refer to past feedback.
B) Ask why the undesired behavior was used.
C) Give the discipline.
D) Explain future disciplinary actions if the undesired action is repeated.

Question 62

__________ is the central part of coaching.

A) Motivational feedback
B) Critical feedback
C) Discipline
D) Rewarding

Question 63

The __________ presents the assets and liabilities and owners' equity.

A) cash flow statement
B) balance sheet
C) pro forma statement
D) income statement

Question 64

The three primary __________ are the income statement,balance sheet,and cash flow statement.

A) control tools
B) budget controllers
C) accounting tools
D) financial statements

Question 65

Which of the following is NOT a step in the coaching model?

A) Describe current performance.
B) Describe consequences for not meeting desired performance.
C) Describe desired performance.
D) Get a commitment to the change.

Question 66

The __________ includes all planned major assets investments.

A) resource allocation plan
B) master budget
C) capital expenditures budget
D) financial budget

Question 67

__________ is the process of giving motivational feedback to maintain and improve performance.

A) Management by walking around (MBWA)
B) Management counseling
C) Coaching
D) Discipline

Question 68

Describe the appropriate feedback process within and between the functional areas/departments.

Question 69

The major objective of discipline is to:

A) change behavior.
B) let employees know that action will be taken when standing plans or performance requirements are not met.
C) maintain authority when challenged.
D) punish.

Question 70

List the four steps in the control systems process.

Question 71

List the four stages of the systems process and describe the type of control used at each stage.

Question 72

The __________ budget is the most important budget because it is based on developing ways to bring in revenues through new and improved products and projects that will create customer value.

A) capital expenditures
B) operating
C) revenue
D) expense

Question 73

The __________ presents revenue and expenses and the profit or loss for the stated time period.

A) income statement
B) balance sheet
C) cash flow statement
D) operating budget

Question 74

Which of the following is NOT one of the three major activities of management by walking around (MBWA)?

A) teaching
B) coaching
C) facilitating
D) listening

Question 75

All of the following are financial statements EXCEPT:

A) the debt-to-equity ratio statement.
B) the income statement.
C) the balance sheet.
D) the cash flow statement.

Question 76

The role of the employee assistance program staff is to:

A) handle all employee problems.
B) help employees get professional assistance in solving their problems.
C) assist managers in handling difficult employees.
D) create procedures for disciplinary action.

Question 77

__________ is the process of giving employees feedback so they realize that a problem is affecting their job performance and referring employees with problems to the employee assistance program.

A) Management by walking around (MBWA)
B) Management counseling
C) Coaching
D) Facilitating

Question 78

__________ is corrective action to get employees to meet standards and standing plans.

A) Management by walking around (MBWA)
B) Management counseling
C) Coaching
D) Discipline

Question 79

The __________ presents the cash receipts and payments for the stated time period.

A) balance sheet
B) income statement
C) pro forma statement
D) cash flow statement

Question 80

The progressive disciplinary steps,in order,are:

A) oral warning, written warning, and dismissal.
B) written warning, oral warning, suspension, and dismissal.
C) oral warning, written warning, suspension, and dismissal.
D) oral warning, suspension, and dismissal.