Obtaining Cost Information Is a Primary Difficulty Associated with Benchmarking

question 103

Multiple Choice

Obtaining cost information is a primary difficulty associated with benchmarking. The following are typical sources for collecting information, EXCEPT

• A) from published reports, industry research firms, and trade groups.
• B) from talking to knowledgeable industry leaders.
• C) from field trips to the facilities of competitors or non-competing firms.
• D) from independent firms and consulting firms to gather best practices and comparative cost data without identifying competing firms.
• E) from the classified government documents.

---

Definitions:

Transaction Date

The date on which a trade or a financial transaction is completed or settled.

Debit

An accounting entry that increases asset or expense accounts, or decreases liability, equity, or revenue accounts.

Credit

Credit in finance represents a contractual agreement in which a borrower receives something of value now and agrees to repay the lender at a later date, often with interest.

Transaction

A financial event that changes the balance of two or more accounts.