LC Business Chapter 12 Control

What is the purpose of quality control in a manufacturing plant?

• To reduce defects in the final product

• To increase production time

• To cut corners in the manufacturing process

• To ensure products meet industry standards

What is the main goal of financial control?

• To ensure the business is profitable and liquid

• To increase debts

• To avoid quality issues

• To reduce stock levels

What is the first step in the management activity of control?

• Take corrective action

• Measure performance

• Set the standard

• Compare performance with standard

What is the main purpose of credit control?

• To reduce quality standards

• To increase stock levels

• To ensure customers pay their bills on time

• To avoid financial control

What is the benefit of using Just in Time (JIT) method for managing stock levels?

• Increases quality issues

• Reduces employee motivation

• Increases business costs

• Reduces business costs such as storage, insurance, and security

What is the main focus of stock control?

• To keep optimum stock levels

• To increase stock levels

• To avoid financial control

• To reduce stock levels

What is the purpose of a quality circle in quality control?

• To reduce employee motivation

• To identify and discuss quality issues at the firm

• To avoid quality issues

• To increase business costs

What is the main activity in credit control?

• Avoiding financial control

• Increasing stock levels

• Reducing quality standards

• Ensuring customers who use credit facilities pay their bills in full and on time

What is the benefit of a quality circle in quality control?

• Reduced quality, increased costs

• Employee demotivation, increased costs

• Increased costs, reduced quality

• Employee motivation, reduced costs, improved quality

What is the main type of stock control method mentioned?

• Total Quality Management (TQM)

• Quality Awards

• Just in Time (JIT)

• Manual Stock Take