Graded Requirements 13 1. Explain the difference between lag and lead indicators. Financial performance is me 2. Read the requirements. The following is a list of financial measures. Indicate whether each is a lag or a lead indicator Requirement 1. Explain the Lag indicators are performa are performance measures Financial measures tend to measures tend to be lead predict how well the compa affect the future. To adequa Requirement 2. The followi a. Income statement shows net income of $100,000 b. Listing of next week's orders of $50,000 c. Trend showing that average hits on the redesigned Web site are increasing at 5% per week d. Price sheet from vendor reflecting that cost per pound of sugar for the next month is $2 e. Contract signed last month with large retail store that guarantees a minimum shelf space for Grandpa's Overloaded Chocolate Cookies for the next year Print Done a. Income statement shows net income of $100,000 b. Listing of next week's orders of $50,000 c. d. e. Trend showing average hits on the redesigned Web site are increasing at 5% per week Price sheet from vendor reflecting that cost per pound of sugar for next month is $2 Contract signed last month with large retail store that guarantees a minimum shelf space for Grandpa's Overloaded Chocolate Cookies for the next year Indicator Financial performance is measured in many ways Read the cement Requirement 1. Explain the difference between lag and lead Indicators. Lag indicators are performance measures that tend to reveal the results of past actions They come after decisions and actions taken in the past Lead indicators are performance measures that tend to jodicato future performance They come before or driva future performance Financial measures tend to be Jag measures tend to be lead Indicators The financial results of a period are driven by actions taken in the past Indicators. Current customer satisfaction ratings, defect rates, and on-time delivery Operational nud 2021 predict how well the company will do in the future Management needs to know the results of past decisions, but it also needs to know how current decisions may affect the future To adequately assess the company, managers need both lead indicators and lag indicators Requirement 2. The following is a list of financial measures Indicate whether each is a lag or lead indicador Income statement shows net income of $100,000 b. Listing of next week's orders of $50,000 c. Trend showing average hits on the redesigned Web site are increasing at 5% per week d. Price sheet from vendor reflecting that cost per pound of sugar for next month is $2 Contract signed last month with large retail store that guarantees a minimum shell space for Grandpa's Overloaded Chocolate Cookies for the next ye Indicator 19 (book/static) (1.29/2)