A present differences in the benchmarking data to management B highlight

A present differences in the benchmarking data to

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A) present differences in the benchmarking data to management B) highlight differences in the benchmarking data to management C) provide insight into why costs or revenues differ across companies D) provide complex mathematical analysis Answer: CDiff: 2Objective: 7AACSB: Analytical thinking5) Benchmarking is the continuous process of measuring products, services, and activities against the best possible levels of performance, either inside or outside the organization. Answer: TRUEDiff: 1Objective: 7AACSB: Analytical thinking6) Coast to Coast Bus Lines acquired the following data about the operating cost of three ofits top competitors.
Operating cost per seat per mileCompetitor A $.11Competitor B $.15Competitor C $.16Management decides to use the average operating cost per seat per mile as a mark. Coastto Coast per seat is 12.5 cents per mile.A) It is equal to the markB) It compares favorablyC) It compares unfavorablyD) It compares favorably to the best performing competitorAnswer: BDiff: 2Objective: 7AACSB: Analytical thinking7) It is difficult for firms to find appropriate benchmarks because differences can exist across companies in their strategies, inventory costing methods, depreciation methods, andso on.Answer: TRUEDiff: 2Objective: 7AACSB: Analytical thinking8) When benchmarking it is best when management accountants simply analyze the costs and allow management to provide the insight as to why the revenues and costs differ between companies. Answer: FALSEExplanation: When benchmarking, management accountants are more valuable when they analyze the costs and also provide management with insight as to why the revenues and costs differ between companies.Diff: 1Objective: 7AACSB: Analytical thinking
9) What is benchmarking, and how is it useful to a company? Answer: Benchmarking is the continuous process of comparing the levels of performance in producing products and services and executing activities against the best levels of performance in competing companies or in companies having similar processes. Companiescan examine aspects of their own operations in comparison to similar operations and see if they are operating at a disadvantage. Benchmarking might provide targets and opportunities to cut costs, and might even show where they have a competitive advantage over similar companies. Diff: 2Objective: 7AACSB: Analytical thinking

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