The Purpose of a Performance Appraisal Is to

question 307

Multiple Choice

The purpose of a performance appraisal is to

• A) protect the firm from lawsuits by disgruntled employees.
• B) improve employee performance.
• C) obtain information for the firm's financial performance that must be provided in the annual report to stockholders.
• D) give managers the information they need to determine the firm's strengths and weaknesses relative to its most serious competitors.

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Definitions:

Carrying Amount

The carrying amount is the value of an asset as represented in the accounting records, factoring in depreciation, amortization, and impairment costs.