Question detail
Harbour Hire serves small retailers while taking a loan; the case evidence includes capacity utilisation of ?4,916, sales of 256 units, and a 11% change in costs or demand. Which option best applies Explain costs and benefits of maintaining quality, including sales, reputation, price, inspection, training and recalls?
Try the question, check the answer, then read the explanation to understand the curriculum point.
At a glance
MCQ
Type
practice
Style
Topic
The concept of quality
Question
- A. Use reputation to judge net profit margin, customers impact, and the business objective in Maintaining quality.
- B. Give only a definition of The concept of quality without using the case evidence.
- C. Treat internal and external finance as identical and ignore the effect on customers.
- D. Choose the largest sales figure without checking costs, finance, or context.
Answer
The correct option is: Use reputation to judge net profit margin, customers impact, and the business objective in Maintaining quality.
Explanation
The option is correct because Use reputation to judge net profit margin, customers impact, and the business objective in Maintaining quality. The case evidence gives ?6,416, 256 units, and 11%, so the answer must explain the commercial effect rather than repeat a definition. The distractors are weaker because they confuse internal and external finance, miss the customers, or ignore the business objective.
Common mistake
Maintaining quality common mistake 1
Giving a vague answer instead of directly addressing: Explain costs and benefits of maintaining quality, including sales, reputation, price, inspection, training and recalls..
Answer by clearly explaining how to explain costs and benefits of maintaining quality, including sales, reputation, price, inspection, training and recalls..
Related flashcards
Flashcard 1 of 5
Related practice questions
Question 1 of 5
Choose an answer, get feedback, then move sideways through the set.