Nonfinancial measures of quality and time for the past two


Question: Nonfinancial measures of quality and time. For the past two years, Worldwide Cell Phones (WCP) has been working to improve the quality of its phones. Data for 2016 and 2017 follows (in thousands of phones):

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1. For each year, 2016 and 2017, calculate the following:

a. Percentage of defective units shipped

b. Customer complaints as a percentage of units shipped

c. Percentage of units reworked during production

d. Manufacturing cycle time as a percentage of total time from order to delivery

2. Referring to the information computed in requirement 1, explain whether WCP's quality and timeliness have improved.

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Accounting Basics: Nonfinancial measures of quality and time for the past two
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