What is one of the ways that accounting is used to direct and control the manager of a corporation? a. Threatening to tell shareholders a mangers income if a manager makes a ‘poor financial’ decision. b. Linking of a mangers performance to a bonus that depends on accounting profit. c. Making decisions based on the accounting information regardless of managerial input. d. Using income smoothing to assure a manager that they can invest in a low risk investment.
What is one of the ways that accounting is used to direct and control the manager of a corporation? a. Threatening to tell shareholders a mangers income if a manager makes a ‘poor financial’ decision. b. Linking of a mangers performance to a bonus that depends on accounting profit. c. Making decisions based on the accounting information regardless of managerial input. d. Using income smoothing to assure a manager that they can invest in a low risk investment.
Chapter12: Balanced Scorecard And Other Performance Measures
Section: Chapter Questions
Problem 5MC: Performance measures are only useful if _______. A. there are both controllable and uncontrollable...
Related questions
Question
What is one of the ways that accounting is used to direct and control the manager of a corporation?
a.
Threatening to tell shareholders a mangers income if a manager makes a ‘poor financial’ decision.
b.
Linking of a mangers performance to a bonus that depends on accounting profit.
c.
Making decisions based on the accounting information regardless of managerial input.
d.
Using income smoothing to assure a manager that they can invest in a low risk investment.
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
This is a popular solution!
Trending now
This is a popular solution!
Step by step
Solved in 3 steps
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.Recommended textbooks for you
Principles of Accounting Volume 2
Accounting
ISBN:
9781947172609
Author:
OpenStax
Publisher:
OpenStax College
Auditing: A Risk Based-Approach (MindTap Course L…
Accounting
ISBN:
9781337619455
Author:
Karla M Johnstone, Audrey A. Gramling, Larry E. Rittenberg
Publisher:
Cengage Learning
Managerial Accounting: The Cornerstone of Busines…
Accounting
ISBN:
9781337115773
Author:
Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger
Publisher:
Cengage Learning
Principles of Accounting Volume 2
Accounting
ISBN:
9781947172609
Author:
OpenStax
Publisher:
OpenStax College
Auditing: A Risk Based-Approach (MindTap Course L…
Accounting
ISBN:
9781337619455
Author:
Karla M Johnstone, Audrey A. Gramling, Larry E. Rittenberg
Publisher:
Cengage Learning
Managerial Accounting: The Cornerstone of Busines…
Accounting
ISBN:
9781337115773
Author:
Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger
Publisher:
Cengage Learning
Auditing: A Risk Based-Approach to Conducting a Q…
Accounting
ISBN:
9781305080577
Author:
Karla M Johnstone, Audrey A. Gramling, Larry E. Rittenberg
Publisher:
South-Western College Pub
Intermediate Financial Management (MindTap Course…
Finance
ISBN:
9781337395083
Author:
Eugene F. Brigham, Phillip R. Daves
Publisher:
Cengage Learning