CMA Final · Cost and Management Audit · Evaluation of Corporate Image
In a management audit of corporate image, which of the following is the most appropriate way to obtain evidence of how a company is perceived by its suppliers?
Structured interviews or surveys with a sample of suppliers are the best evidence, because corporate image is the perception held by stakeholders. Spending figures, board size or accounting policies do not show how suppliers actually view the company.
- AReviewing the company's own annual advertising budget
- BConducting structured interviews or surveys with a sample of suppliersCorrect
- CCounting the number of directors on the board
- DChecking the company's depreciation policy
Explanation
Corporate image is the perception held by stakeholders, so direct feedback from the stakeholder group concerned is the most relevant evidence. Advertising spend reflects effort, not perception. Board size and depreciation policy are unrelated to supplier perception.
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