Texas Tech University

MGT 3370

Chapter 16 Quiz

1)The income statement summarizes an organization’s financial results, its revenues and expenses, over a specified period of time such as a quarter or a year.

2. A company that determines the acceptable number of consumer complaints it will expect for the upcoming year has set a statistical target.

3. The six areas of organizational control include                       , physical, informational, financial, structural, and cultural.

4. Which of the following is not a reason why control is needed?

5. Zero-based budgeting allocates increased or decreased funds to a department by using the last budget period as a reference point.

6. Bureaucratic control attempts to elicit employee compliance using strict rules, a rigid hierarchy, well-defined job descriptions, and administrative mechanisms such as budgets, performance appraisals, and compensation schemes.

7. Control systems should be realistic, positive, understandable, and flexible and encourage self-control.  

8. An organization that is examining its return on investment (ROI) is using                          .

9. A pattern is a visual representation of the balanced scorecard that enables managers to communicate their goals.

10. The PDCA cycle is part of         .

11. Productivity is monitoring performance, comparing it with goals, and taking corrective action.