Exam 3 Flashcards
(8 cards)
1
Q
Manufacturing costs
A
- Direct materials
- Direct labor
- Manufacturing overhead
2
Q
Process costing
A
Method commonly used by companies that manufacture large numbers of standardized products (Cheerios)
3
Q
Manufacturing overhead includes
A
- Indirect materials
- Indirect labor
- Other overhead
4
Q
Scorecard perspectives
A
Financial
Customer
Internal business process
Learning and growth
5
Q
Common measures bias
A
Evaluators ignore measures unique to individual subunits
6
Q
Motivated reasoning
A
People tend to evaluate evidence in ways consistent with their preferences
7
Q
Surrogation
A
The tendency to replace the abstract concepts we really care about (like strategy) with measures.
8
Q
Sunk costs
A
Past costs, irrelevant
