Which of the following statements about nonfinancial indicators of quality is not true?
A)They can be useful predictors of future financial performance.
B)Generally speaking,they are more costly to generate than financial measures of quality.
C)They are more timely than financial data.
D)They are readily interpretable by operating personnel.
E)They help to identify precise quality-related problems.

Question

Quizplus · Accepted Answer

Generally, nonfinancial indicators of quality are less costly to generate than financial measures because financial measures require accounting systems, while nonfinancial measures require monitoring of quality processes and outcomes.

Which of the Following Statements About Nonfinancial Indicators of Quality