EPM question bank
This document contains questions related to enterprise performance management. It covers five units: Unit 1 addresses performance management, strategic planning, management and operational control, profit centers, balanced scorecards, and transfer pricing calculations. Unit 2 covers responsibility accounting, capital budgeting, capital expenditure control, and internal rate of return. Unit 3 discusses performance evaluation of commercial banks and retail organizations using various parameters. Unit 4 examines project control processes, performance evaluation of non-profit organizations, and budgeting guidelines for non-profits. Unit 5 differentiates between financial and internal audits and explains auditing as a performance measurement tool through cost audits and management audits.
EPM question bank
- 1. (302) Enterprise Performance Management Question Bank Unit 1:- Q.1 Performance management at all levels and across the organization has become the need of the day. Elucidate in the light of strategic planning, management control & operation control. Q.2 A profit centre facilitates the true evaluation of performance of a responsibility centre both in terms of efficiency & effectiveness, Elaborate the use, advantages & disadvantages of profit centre. Q.3 What do you understand by the term Balanced score card? Enumerate its advantages and key performance measure. Q.4 ABC Ltd has a policy of fixing the Transfer Price on cost plus 20% ROI basis. The following information of Division A is available for the financial year 2014-15. Fixed Assets Rs. 12,50,000/- Current Assets Rs. 7,50,000/- Debtors Rs. 5,00,000/- Annual Fixed cost of the Division A Rs. 20,00,000/- Variable cost per unit of production Rs. 50/- Budgeted Volume (units) 2,00,000/- a) Determine the Transfer price for Division A b) If the volume (in units) is increased by 10%. Current Assets increase by Rs. 2.5 lacks; Debtors increase by Rs. 2.5 lacks. What will be the impact on transfer price? Q.5 What is mean by Responsibility accounting? Explain the objectives of responsibility accounting. Unit 2:- Q.6 Explain the concept of Capital Budgeting highlighting its need for the survival of the organization. Also state the process of capital budgeting. Q.7 State & Discuss the various parameters, tools & techniques of capital expenditure control. Q.8 What do you mean by Internal Rate of Return? State its advantages and limitations. Q.9 Explain the technical performance measurement in detail.
- 2. Unit 3:- Q. 10. State & discuss various parameters of Performance Evaluation of a Commercial Bank. Q. 11. Explain the following in the context of performance Evaluation of a retail organization: a) Sell through analysis. b) Multiple Attribute Method. Q.12 Discuss the performance of Retail store on the following parameters:- a) ABC Analysis b) Gross Margin Return on Investment (GMROI) Q.13 Explain the Types of Credit Criteria for Credit Appraisal. Unit 4:- Q.14 State & discuss the project control process in detail highlighting schedule variance & project cost variance. Q.15 Discuss the performance evaluation parameter for Non- Profit Organization. Q. 16 Explain the Role of Budgeting and general guidelines for preparing budget for nonprofit organization. Q.17 Write a detail note on Governance of Non Profit Organizations. Unit 5:- Q. 18 Differentiate in detail between the Financial Audit & Internal Audit. Q. 19 Explain auditing as a performance Measurement tool in the light of Cost Audit & Management Audit. Q. 20 Discuss the types & contents of Audit Report.