Nonfinancial performance measures: Expressing a performance in terms of measures other than the dollars is known as nonfinancial performance measures. In order to evaluate the time, quality, or quantity of a business activity these measures are used. To identify: Each performance measures as an input measure or output measure related to the “order placement and delivery” process.

Question

Want to see the full answer?

Answer 1

Question

Chapter 8, Problem 22E

(A)

To determine

Nonfinancial performance measures:

Expressing a performance in terms of measures other than the dollars is known as nonfinancial performance measures. In order to evaluate the time, quality, or quantity of a business activity these measures are used.

To identify: Each performance measures as an input measure or output measure related to the “order placement and delivery” process.

(B)

To determine

To provide: An explanation for each performance measures.

Expert Solution & Answer

Want to see the full answer?

Check out a sample textbook solution

See solution

Students have asked these similar questions

Planning and control decisions. Gregor Company makes and sells brooms and mops. It takes the following actions, not necessarily in the order given. For each action, state whether it is a planning decision or a control decision. Gregor asks its advertising team to develop fresh advertisements to market its newest product. Gregor calculates customer satisfaction scores after introducing its newest product. Gregor compares costs it actually incurred with costs it expected to incur for the production of the new product. Gregor’s design team proposes a new product to compete directly with the Swiffer. Gregor estimates the costs it will incur to distribute 30,000 units of the new product in the first quarter of next fiscal year.

ABC Company is a manufacturing company that produces furniture. To improve efficiency and usefulness, ABC Company is constantly incorporating advanced, information technology into its business information systems. When Silver Limited does not have available production capacity, sometimes it purchases furniture from outside suppliers to fulfill customer orders. First, Inventory Control prepares a purchase requisition when inventory approaches the reorder point and sends it to Purchasing and Accounts Payable. Then, Purchasing locates the authorized vendor in the vendor file, prepares a purchase order, and updates the purchase order file. Purchasing then sends the purchase order to Vendor, Receiving, and Accounts Payable. Accounts Payable prepares a summary of all purchase orders issued that day and forwards the total to General Ledger for posting to the GL file. Goods arrive at Receiving with a packing slip. Receiving prepares a receiving report and forwards it with the goods to…

Silver Limited is a manufacturing company that produces furniture. To improve efficiency and usefulness, Silver Limited is constantly incorporating advanced, information technology into its business information systems. When Silver Limited does not have available production capacity, sometimes it purchases furniture from outside suppliers to fulfill customer orders. First, Inventory Control prepares a purchase requisition when inventory approaches the reorder point and sends it to Purchasing and Accounts Payable. Then, Purchasing locates the authorized vendor in the vendor file, prepares a purchase order, and updates the purchase order file. Purchasing then sends the purchase order to Vendor, Receiving, and Accounts Payable. Accounts Payable prepares a summary of all purchase orders issued that day and forwards the total to General Ledger for posting to the GL file. Goods arrive at Receiving with a packing slip. Receiving prepares a receiving report and forwards it with the goods to…