ACC 202 Principles of Accounting 2 Ball State University
ACC 202 Principles of Accounting 2 Ball State University
15th Edition
ISBN: 9781308193977
Author: Noreen, Brewer Garrison
Publisher: MCG/CREATE
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Chapter 11, Problem 22P

1)

To determine

Perverse effects of performance measures:

  • Management and evaluation of performance measures of operational results, is often accompanied with ethical dilemmas.
  • These refer to situations where those charged with operational responsibilities such as managers, have to choose between personal gain and professional objectives of the organization.
  • Perverse effects of performance measures arise when managers choose to distort and deliberately misrepresent the results of performance initiatives in order to gain financial growth, as certain key performance indicators are linked to remunerations of managers or to gain professional growth.
  • These effects are seen when actions taken by managers to make their performance look better, actually harm the organization.

Actions that managers take to show improvement in the performance measure but which do not actually lead to improvement in the organizations overall improvement

To determine

Actions that managers take to show improvement in the performance measure but which do not actually lead to improvement in the organizations overall improvement

To determine

Actions that managers take to show improvement in the performance measure but which do not actually lead to improvement in the organizations overall improvement

To determine

Actions that managers take to show improvement in the performance measure but which do not actually lead to improvement in the organizations overall improvement

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Chapter 11 Solutions

ACC 202 Principles of Accounting 2 Ball State University

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