Echo Beetle Is an Interior Design and Renovation Management Firm

question 16

Multiple Choice

Echo Beetle is an interior design and renovation management firm. The customer perspective of Echo Beetle's balanced scorecard contain these two measures: (1) client satisfaction rating and (2) percentage of projects completed on-time. Which of the following are the most appropriate measures on Echo Beetle's internal business process perspective?

• A) Adherence to project schedule (%), number of projects that passed internal quality inspection
• B) Machine down time, productivity
• C) Product defects, number of customer complaints
• D) Time employees spent on training, cost per project

---

Definitions:

Freight-In

The cost associated with transporting goods into a facility, usually included in the inventory cost of the goods purchased.

Periodic Method

An accounting inventory system where updates to the inventory records are made periodically at the end of an accounting period.

Net Purchases

The total amount of purchases minus purchase returns, allowances, and discounts received during a specific period.

Gross Profit

The difference between the revenue generated from goods or services sold and the cost of goods sold (COGS), before deducting overhead, payroll, taxation, and interest payments.