Question detail
CraftCrate serves commuters while opening a second outlet; the case evidence includes net profit margin of ?4,239, sales of 689 units, and a 26% 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 break-even output, shareholders 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 efficiency and productivity as identical and ignore the effect on shareholders.
- D. Choose the largest sales figure without checking costs, finance, or context.
Answer
The correct option is: Use reputation to judge break-even output, shareholders impact, and the business objective in Maintaining quality.
Explanation
This is the best-supported choice because Use reputation to judge break-even output, shareholders impact, and the business objective in Maintaining quality. The case evidence gives ?5,739, 689 units, and 26%, so the answer must explain the commercial effect rather than repeat a definition. The distractors are weaker because they confuse efficiency and productivity, miss the shareholders, 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..
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