Performance Measurement Practice Exam 2026-VERSION WITH QUESTIONS AND ANSWERS 100% CORRECT WITH RATIONALES AND PDF DOWNLOAD. 1. What is the primary purpose of performance measurement in organizations? A. To increase employee salaries B. To eva

Performance
Measurement Practice
Exam 2026-VERSION
WITH QUESTIONS AND
ANSWERS 100%
CORRECT WITH
RATIONALES AND PDF
DOWNLOAD.

,1. What is the primary purpose of
performance measurement in
organizations?
A. To increase employee salaries
B. To evaluate efficiency and
effectiveness
C. To reduce taxation
D. To eliminate competition
Answer: B
Rationale: Performance measurement
focuses on assessing how efficiently and
effectively organizational goals are
achieved.

,2. Which of the following is a financial
performance indicator?
A. Customer satisfaction score
B. Return on Investment (ROI)
C. Employee morale index
D. Brand awareness
Answer: B
Rationale: ROI is a financial metric
measuring profitability relative to
investment.


3. Balanced Scorecard includes all
EXCEPT:
A. Financial perspective
B. Customer perspective

, C. Internal process perspective
D. Political perspective
Answer: D
Rationale: The Balanced Scorecard
includes financial, customer, internal
process, and learning & growth
perspectives.


4. Key Performance Indicators (KPIs) are
used to:
A. Track random activities
B. Measure critical success factors
C. Replace accounting systems
D. Avoid reporting
Answer: B