1. Continuous Improvement: a. Is used to reduce inventory levels b is applicable only in service businesses C. Rejects the notion of "good enough d. is used to reduce ordering costs e. Is applicable only in manufacturing businesses 2. Equivalent units of production are equal to: a. Physical units that were completed this period from all effort being applied to them b. The number of units introduced into the process this period c. The number of finished units actually completed this period d. The number of units that could have been started and completed given the cost incurred e. The number of units in the process at the end of the period 3. Which of the following items does not represent a difference between financial and managerial accounting? a. Users of the information b. Flexibility of reporting c. Timeliness of information d. Focus of the information e. Managerial accounting does not use the financial information from the financial accounting system 4. A type of production that yields customized products or services for each customer is called: a. Customer orientation production b. Job order production Just-in-time production d. Job lot production e Process production 5. Equivalent units of production are equal to: a. The number of units that could have been started and completed given the costs incurred during the period b. The number of finished units actually produced during a period The number of units started into the process during a period d. The number of units still in process at the end of a period e. Physical units that were started and completed during a period Page 1 of 6