Which of the following is an example of nonfinancial performance measure?
A) percentage of products started and completed without requiring any rework
B) direct manufacturing labor efficiency variance
C) direct materials price variance
D) quantity discounts obtained on order of large quantity

Question

Quizplus · Accepted Answer

Nonfinancial performance measures are those that cannot be expressed in monetary terms. Percentage of products started and completed without requiring any rework is an example of nonfinancial performance measure as it measures the quality and efficiency of the production process rather than the financial impact of the process. The other choices are financial performance measures as they are expressed in monetary terms.

Which of the Following Is an Example of Nonfinancial Performance