Extra Work Ch 1 - 4
1. _________________ is an example of a staff position.
A. Sales manager for a manufacturer
B. President of a merchandising company
C. Store manager for Best Buy
D. Human resource manager for a community college
2. One of the steps in the lean thinking model is to organize work arrangements around the flow of the business
process. This is often accomplished by:
A. automating the business process.
B. implementing an enterprise system.
C. instituting a six sigma program.
D. creating a manufacturing cell.
3. Which of the following is NOT one of the five steps in the lean thinking model discussed in the text?
A. Create a pull system that responds to customer orders.
B. Automate the business process.
C. Identify the business process that delivers value.
D. Organize work arrangements around the flow of the business process.
4. Which of the following persons would occupy a line position in a department store?
I. Sales manager
II. Manager, furniture department
III. Manager, advertising department
IV. Manager, personnel department
A. Only I
B. Only I and II
C. Only I, II, III
D. I, II, III, IV
5. Which of the following is NOT one of the three major customer value propositions discussed in the text?
A. customer intimacy
B. operational excellence
C. zero defects
D. product leadership
6. Inventories consisting of units of product that are only partially complete are called _______________.
A. finished goods
B. raw materials
C. work in process
D. none of these
7. The controller occupies:
A. a line position.
B. a staff position.
C. neither a line nor a staff position, since the accounting department must be independent.
D. both a line and a staff position.
8. Dorra Corporation manufactures lawnmowers in five work stations. Dorra's weekly demand is 5,000 mowers
but Dorra can only produce 4,200. According to the theory of constraints, to increase production output Dorra
would benefit the most by concentrating improvement efforts on the:
A. first work station.
B. last work station.
C. largest work station.
D. fastest work station.
E. slowest work station.
9. The Institute of Management Accountants' Statement of Ethical Professional Practice states that when faced
with significant ethical issues, management accountants should first:
A. discuss such problems with the immediate superior except when it appears that the superior is involved.
B. clarify relevant concepts by confidential discussion with an objective advisor to obtain an understanding of
possible courses of action.
C. follow the established policies of the organization bearing on the resolution of such conflict.
D. submit an informative memorandum describing the ethical issue to an appropriate representative of the
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