IMANET CMA Exam - Topic 4 Question 62 Discussion

Actual exam question for IMANET's CMA exam

Question #: 62
Topic #: 4

[All CMA Questions]

The effectiveness of a JIT system is often facilitated by the elimination of some commen forms of internal control.the elimination of which internal control is usually acceptable with a JIT system?

APrepation of hard copy receiving reports.

BVoucher approval priot to paying accounts payable.

CTwo signatures required on large cheaks.

DLocked doors on production areas.

Show Suggested Answer

Suggested Answer: C

Decentralization results in greater speed in making operating decisions because they are made by lower-level managers instead of being referred to top management. The quality of operating decisions should also be enhanced, assuming proper training of managers, because those closest to the problems should be the most knowledgeable about them.

by James at Dec 07, 2022, 12:11 AM

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Brittani

4 months ago

Locked doors? Why would you want to eliminate that?

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Gladys

4 months ago

Voucher approvals can slow things down, so yeah.

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Joaquin

4 months ago

I’m not so sure about that, seems risky.

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Wei

4 months ago

Totally agree, makes sense to streamline!

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Lawrence

4 months ago

JIT systems often skip hard copy reports.

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Owen

5 months ago

Locked doors on production areas seem like they should stay for security, but I guess JIT might allow for more openness?

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Niesha

5 months ago

I practiced a similar question where we talked about internal controls, and I feel like two signatures on checks could be seen as excessive in a JIT context.

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Devorah

5 months ago

I'm not entirely sure, but I think voucher approval might still be important for accounts payable, even in JIT.

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Nobuko

5 months ago

I remember discussing how JIT systems focus on efficiency, so maybe eliminating hard copy receiving reports makes sense?

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Lenna

5 months ago

Okay, I think I've got a plan. I'll implement a trigger on the Order__c object that checks for the "Placed" status and then makes a callout to the ERP system's REST endpoint. That should meet the requirements, and a trigger seems like the most straightforward way to handle this. I'll need to be careful with error handling and retries, but I'm feeling confident about this.

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Daren

5 months ago

This looks like a straightforward question about the deployment options for SteelCentral Portal. I'll need to review my notes on the different distribution methods to determine the correct answer.

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Trinidad

9 months ago

Locked doors on production areas? That's like asking the wolves to guard the henhouse. Unless you want your inventory to 'disappear', I'd say that's the way to go.

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Ezekiel

8 months ago

D) Locked doors on production areas.

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Cortney

8 months ago

C) Two signatures required on large cheaks.

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Bulah

8 months ago

B) Voucher approval priot to paying accounts payable.

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Tequila

9 months ago

A) Prepation of hard copy receiving reports.

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Keneth

9 months ago

Voucher approval prior to paying accounts payable? Nah, that's just good financial hygiene. You don't want to be paying bills willy-nilly, even in a JIT system. I'm picking B.

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Art

8 months ago

Locked doors on production areas are important for security, even in a JIT system.

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Evangelina

9 months ago

I think eliminating the preparation of hard copy receiving reports would be acceptable with a JIT system.

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Franklyn

9 months ago

I agree, having voucher approval is important for financial control.

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Anabel

10 months ago

Oh man, two signatures on large checks? That's just asking for trouble. Talk about bureaucratic red tape! I'm going with option C on this one.

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Jerry

8 months ago

Locked doors on production areas might be necessary, but two signatures on checks just seems like overkill.

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Reta

8 months ago

I agree, that kind of control would slow things down. Option C is the way to go for sure.

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Florencia

8 months ago

Yeah, two signatures on large checks seems excessive. It's definitely not needed in a JIT system.

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Britt

10 months ago

I'm not too sure about this one. Prepation of hard copy receiving reports seems like a pretty standard internal control. Eliminating that would be a risky move, even in a JIT system.

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Salley

9 months ago

C) Two signatures required on large checks.

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Rory

9 months ago

B) Voucher approval prior to paying accounts payable.

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Trevor

9 months ago

A) Prepation of hard copy receiving reports.

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Berry

10 months ago

Hmm, the elimination of locked doors on production areas seems like the most reasonable option here. It aligns with the 'just-in-time' philosophy of minimizing waste and maximizing efficiency.

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