7. What are the elements of a cost performance report? 8. Which of the various budgets is the starting point for preparing an annual budget? 9. Why is it important for professional labor hours to be budgeted with extreme care? 10. What is the difference between the accounting treatment of overhead for a service business and for a manufacturer? 11. Explain how a budgeted income statement for a service business may be used for both planning and control purposes. 12. What are the two main things that an activity-based costing system attempts to accomplish relative to direct and indirect costs? 13. Explain the concept of peanut-butter costing. 14. When is it generally worthwhile to implement an activity-based costing system? 15. Explain the concept of a cost/benefit decision and how it relates to job costing systems. 16. What is a balanced scorecard? 17. Give five examples of nonfinancial performance measures. 18. What is the relationship between a company's strategy and its choice of performance measures? 19. Name the four categories that performance measures are typically divided into, and give an example of a performance measure for each category. 20. Why should a company bother with a balanced scorecard approach to performance measurement when its primary goal is to earn a sufficient return on investment for its shareholders? 21. Distinguish between design quality and conformance quality, and give an example of the failure of each. 22. Define prevention costs and give two examples of prevention cost activities. 23. Define appraisal costs and explain how they relate to prevention costs. 24. Distinguish between internal and external failure costs, and give two examples of each