A Total Quality System Should Be Designed to Promote a Reorientation

question 6

Multiple Choice

A total quality system should be designed to promote a reorientation of thinking from an emphasis on

• A)internal quality improvements to an emphasis on external benchmarking.
• B)the planning process to an emphasis on the performance evaluation process.
• C)inspection to an emphasis on prevention.
• D)process benchmarking to an emphasis on results benchmarking.

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Definitions:

Utility Function

A mathematical representation that ranks an individual's preferences over a set of goods and services, aiming to measure satisfaction or happiness.

Consumption

Households' utilization of goods and services.

Interest Rate

The percentage at which interest is paid by a borrower for the use of money they borrow from a lender.

Present Value

The current worth of a future sum of money or stream of cash flows given a specified rate of return.