Question: Managerial Acct: 240 PLEASE ONLY ATTEMPT QUESTION IF YOU ARE WILLING TO ANSWER ALL PROBLEMS! THANK YOU! 111What is meant by the term decentralization? 112What

Managerial Acct: 240

PLEASE ONLY ATTEMPT QUESTION IF YOU ARE WILLING TO ANSWER ALL PROBLEMS! THANK YOU!

  • 111What is meant by the term decentralization?

  • 112What benefits result from decentralization?

  • 113Distinguish between a cost center, a profit center, and an investment center.

  • 114What is meant by the terms margin and turnover in ROI calculations?

  • 115What is meant by residual income?

  • 116In what way can the use of ROI as a performance measure for investment centers lead to bad decisions? How does the residual income approach overcome this problem?

  • 117What is the difference between delivery cycle time and throughput time? What four elements make up throughput time? What elements of throughput time are value-added and what elements are nonvalue-added?

  • 118What does a manufacturing cycle efficiency (MCE) of less than 1 mean? How would you interpret an MCE of 0.40?

  • 119Why do the measures used in a balanced scorecard differ from company to company?

  • 1110Why does the balanced scorecard include financial performance measures as well as measures of how well internal business processes are doing?

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