ACC 562 ADVANCED MANAGERIAL ACCOUNTING
MIDTERM EXAM
Omotoyosi Adekunle
Use the terms below to answer questions 1 to 10 (20 points)
Budget nonconstraint strategy
Six Sigma customer value proposition Internet
business process just-in-time value chain
Theory of Constraints enterprise system corporate governance
enterprise risk management constraint supply chain management
lean thinking model pulls non-value-added activity
•A strategy is a game plan that enables a company to attract customers by
distinguishing itself from competitors,
•Six sigma is a method that relies on customer feedback and objective data
gathering and analysis techniques to drive process improvement.
•A business process is a series of steps that are followed to carry out some task in a
business.
•The system by which a company is directed and controlled is called Corporate
governance.
•The process used by a company to help identify the risks that it faces and to
develop responses to those risks so that the company is reasonably assured of
meeting its goals is known as enterprise risk management
•A production and inventory control system in which materials are purchased and
units are produced only as needed to meet actual customer demand is known as
just-in-time.
•The Internet fuels the globalization phenomenon by providing companies with
greater access to geographical customers, employees, and suppliers.
•A constraint is anything that prevents an organization or individual from getting
more of what it wants.
•Increasing the rate of output of a nonconstraint as the result of an improvement
effort is unlikely to have much effect on profits.
•A value chain consists of business functions that add value to a company’s
