Pareto Charts Are Used To

question 222

Multiple Choice

Pareto charts are used to:

• A) identify inspection points in a process.
• B) outline production schedules.
• C) organize errors, problems, or defects.
• D) show material flow.
• E) show the range of values of a measurement and the frequency with which each value occurs.

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Definitions:

Revenues

The income generated from normal business operations, calculated by multiplying the price of goods or services by the quantity sold.

Dividends Payable

A liability account in a company's balance sheet indicating the amount in dividends that the company owes to its shareholders but has not yet paid out.

Operating Expenses

Expenses incurred from a company's operational activities, excluding the cost of goods sold, taxes, and interest expenses.

Dividends Declared

Profits that a company's board of directors has decided to distribute to shareholders in the form of dividends.