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Question : Which of the following is an example of a nonfinancial control?

 

Option 1: Return on investment (ROI).

Option 2: Sales revenue.

Option 3: Customer satisfaction rating.

Option 4: Cost of goods sold (COGS).


Team Careers360 13th Jan, 2024
Answer (1)
Team Careers360 23rd Jan, 2024

Correct Answer: Customer satisfaction rating.


Solution : The correct answer is (c) Customer satisfaction rating.

Non Financial controls focus on aspects of performance that are not directly measured in monetary terms. These controls are used to assess and manage various non-financial aspects of an organization's operations and performance. Customer satisfaction rating is a nonfinancial control. It measures the level of satisfaction or happiness of customers regarding the organization's products, services, or overall experience. Customer satisfaction is typically assessed through surveys, feedback, ratings, or other qualitative or quantitative methods. Non Financial controls, such as customer satisfaction ratings, focus on areas that are not directly tied to financial outcomes but are crucial for the long-term success and sustainability of an organization. They help in assessing the effectiveness of customer-centric strategies, identifying areas for improvement, and making informed decisions to enhance customer satisfaction and loyalty.

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