Assessment Accounting

1. Activity-based management focuses management’s attention on activities resulting in improving
customer value and profits.

ANS: TRUE

2. Activity-based costing is very concerned with waste issues.

ANS: FALSE

3. The activity-based management model has two dimensions: a cost dimension and a process
dimension.

ANS: TRUE

4.Process value consists of three elements:. driver analysis, activity analysis, and performance
measurement.

ANS: TRUE

5. Driver analysis identifies performance levels.

ANS: FALSE

6. Performance measurement is concerned with how well activities are performed.

ANS: TRUE

7.Financial measures of performance focus on the dollar effect of activity performance changes.

ANS: TRUE

8. Reducing non-value added costs decreases activity deficiency.

ANS: FALSE?

9. Kaizen costing is concerned with reducing the costs by identifying small, continuous improvement for
existing products and processes.

ANS: TRUE

10. Identifying, defining, and classifying activities require more attention for ABC than ABM.

ANS: FALSE

11. Rowbee Incorporated....

Target cost for maintaining current market share and profitability

ANS: 12

12. Rowbee Incorporated.

Non-value added cost per unit..

Ans: 9.40