Indicate whether each statement is true (T) or false (F).

____1. The balanced scorecard has separate columns for objectives, initiatives, performance measures, target performance, and actual performance.

____2. The balanced scorecard gets its name because it balances short-run and long-run financial performance measures in a single report.

____3. Under the strategy of product differentiation, the financial perspective of a well-designed balanced scorecard focuses on how much operating income results from charging premium selling prices.

____4. The cause-and-effect relationship built into the balanced scorecard is that gains in learning and growth lead to improvements in internal business processes, which in turn lead to higher customer satisfaction and market share, and finally result in superior financial performance.

____5. In a well-designed balanced scorecard, many financial performance measures serve as leading indicators of future nonfinancial performance.

____6. Successful reengineering efforts involve changing roles and responsibilities, eliminating unnecessary activities and tasks, using information technology, and developing employee skills.

____7. A well-designed balanced scorecard uses only objective financial and nonfinancial performance measures.

___8. The most noteworthy aspect of engineered costs is that managers are seldom confident that the correct amounts are being spent.

___9. (Appendix) The lower the inputs for a given quantity of output or the higher the output for a given quantity of inputs, the higher the level of productivity.

___10. (Appendix) Fluctuations in input prices affect partial productivity measures.