Strategically placed tray-return stands and trash receptacles remind customers to return trays in fast-food facilities. This is an example of a poka-yoke technique designed to prevent:
a. customer errors in preparation.
b. customer errors during an encounter.
c. customer errors at the resolution stage of a service.
d. treatment errors between the server and the customer.
c
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The Rocky Company reports the following data. Sales $700,000 Variable costs $300,000 Fixed costs $120,000 Rocky Company's operating leverage is:
A) 3.33 B) 2.5 C) 1.0 D) 1.4
Cilia Corporation specializes in the production of door knobs, which are mostly sold within its territory
The selling price for each door knob is $15. Using the traditional allocation method to allocate manufacturing overhead, the full-product cost is determined to be $10. The company recently introduced the activity-based costing method to allocate its overhead. The refinement of costs shows that the full-product cost is $2.50 lower with activity-based costing than with traditional costing. Requirement: 1. Calculate the change in net profit percentage as a result of the introduction of activity-based costing. 2. The desired net profit margin of the company is 60%. If the production costs cannot be reduced, by how much should the selling price be increased in order to achieve the desired profit? (Use the cost estimates under activity-based costing.) What will be an ideal response
Gallup Foods produces a gourmet condiment that sells for $22 per unit
Variable cost is $8 per unit, and fixed costs are $6,000 per month. If Gallup expects to sell 2,000 units, compute the margin of safety in dollars. (Round any intermediate calculations to the nearest whole unit, and your final answer to the nearest dollar.) A) $34,571 B) $1,571 C) $6,000 D) $12,571