Question detail
BeanBarn serves price-sensitive customers while using retained profit; the case evidence includes break-even output of ?8,650, sales of 490 units, and a 33% change in costs or demand. Which option best applies Identify advantages to a business of using total quality management?
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 total quality management to judge capacity utilisation, owners 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 break-even and profit as identical and ignore the effect on owners.
- D. Choose the largest sales figure without checking costs, finance, or context.
Answer
The correct option is: Use total quality management to judge capacity utilisation, owners impact, and the business objective in Maintaining quality.
Explanation
Choose this response because Use total quality management to judge capacity utilisation, owners impact, and the business objective in Maintaining quality. The case evidence gives ?10,150, 490 units, and 33%, so the answer must explain the commercial effect rather than repeat a definition. The distractors are weaker because they confuse break-even and profit, miss the owners, or ignore the business objective.
Common mistake
Maintaining quality common mistake 1
Giving a vague answer instead of directly addressing: Identify advantages to a business of using total quality management..
Answer by clearly explaining how to identify advantages to a business of using total quality management..
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