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NEW QUESTION 25
According to Maslow’s hierarchy of needs theory, which of the Mowing best describes a strategy where a manager offers an assignment to a subordinate specifically to support his professional growth and future advancement?
- A. Sense of belonging in the organization
- B. Job security
- C. Esteem by colleagues
- D. Sell-fulfillment
NEW QUESTION 26
A major benefit of computer integrated manufacturing CIM) is:
- A. Increased flexibility.
- B. Increased working capital.
- C. Delivery of customized products with long lead times.
- D. Increased amount of scrap available for resale.
CIM entails a holistic approach to manufacturing in which design is translated into product by centralized processing and robotics. CIM can help an organization reduce costs of spoilage, increase flexibility, and increase productivity. Flexibility is the key benefit. A traditional manufacturing system might become disrupted from an emergency change, but CII1 will reschedule everything in the plant when a priority requirement is inserted into the system.
NEW QUESTION 27
Which of the following inventory items would be the most frequently reviewed in an ABC inventory control system?
- A. Expensive, frequently used, high stockout cost items with short lead times.
- B. Inexpensive, frequently used, high stockout cost items with long lead times.
- C. Expensive, frequently used, high stockout cost items with long lead times.
- D. Expensive, frequently used, low stockout cost items with long lead times.
The ABC system is a method for controlling inventories that divides inventory items into three groups: Group A – high-monetary-value items, which account for a small portion (perhaps 10%) of the total inventory usage Group B– medium-monetary-value items, which may account for about 20% of the total inventory items Group C — low-monetary-value items, which account for the remaining 70% of sales or usage The ABC system permits the proper degree of managerial control to be identified and exercised over each group. Group A items are reviewed on a regular basis. Group B items may not have to be reviewed as often as group A items, but more often than group C items. For group C, extensive use of models and records is not cost effective. It is cheaper to order large quantities infrequently. The ABC method therefore reduces the safety-stock investment because high-value items are frequently monitored and medium-value items are monitored more often than inexpensive items. Frequent review can prevent stockouts and decrease inventory levels, and the cost of such review is minimized if it is limited to high- or medium-value items.
NEW QUESTION 28
A chief audit executive (CAE) was asked to participate in the selection of an external auditor. Which of the following would not be a typical responsibility for the CAE?
- A. Develop appropriate performance metrics.
- B. Evaluate the proposed external auditor fee.
- C. Monitor the work of the external auditors.
- D. Recommend criteria to be used in the selection process.
NEW QUESTION 29
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