CHAPTER 19!
Sample Exam Questions!
1. The four cost categories in a cost of quality program are!
A. product design, process design, internal success, and external success.!
B. prevention, appraisal, internal failure, and external failure.!
C. design, conformance, control, and process.!
D. design, process specification, on-time delivery, and customer satisfaction.!
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2. Which of the following is not a non-financial performance measure for customer satisfaction?!
A. Number of defective units shipped to customers as a percentage of the total units of product shipped!
B. Number of customer complaints!
C. On-time delivery!
D. Number of defects for each product line!
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3. __________ is a formal means of distinguishing between random and nonrandom variation in an operating process.!
A. Statistical process control (SPC)!
B. A Pareto diagram!
C. A cause-and-effect diagram!
D. A fishbone diagram!
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4. Non-financial measures for internal quality performance include all but which of the following?!
A. Employee empowerment!
B. Process yields!
C. Feedback!
D. Product defect levels!
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5. A key question in relevant cost and relevant revenue analysis is:!
A. By how much can sales be increased and costs reduced?!
B. What purpose is best served for cost allocation and which criterion is most appropriate?!
C. How will total costs and total revenues change under each solution?!
D. What are the amounts of incremental costs and incremental revenues under each alternative?! !
6. An advantage of financial cost of quality measures is that they!
A. are often easy to quantify and understand.!
B. provide immediate short-run feedback on whether quality improvement efforts have, in fact, succeeded in improving quality.!
C. direct attention to physical processes and therefore focus attentions on the precise problem areas needing improvement.!
D. provide a single, summary measure of quality performance.!
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7. The amount of time between when a customer places an order for a product