ACCA Applied Knowledge · Management Accounting · Monitoring performance and reporting
A hotel records the percentage of guests who rate their stay as good or excellent. Which type of performance measure is this?
This is a non-financial measure of quality. Guest satisfaction ratings are not stated in money terms and show how customers perceive the service. A resource utilisation measure would instead track something like room occupancy rates.
- AFinancial measure of profitability
- BNon-financial measure of qualityCorrect
- CFinancial measure of liquidity
- DNon-financial measure of resource utilisation
Explanation
Guest satisfaction ratings are not expressed in monetary terms and reflect service quality as perceived by customers, so it is a non-financial quality measure. Utilisation would concern capacity use such as room occupancy.
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