An Effective Control System

question 71

Multiple Choice

An effective control system:

• A)is flexible enough to allow managers to deal with unexpected events
• B)provides accurate information
• C)gives managers a true picture of organizational performance
• D)provides managers with timely information
• E)is flexible,provides accurate information,in a timely manner,and gives managers a true picture of performance

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Definitions:

Fixed Assets

Long-term tangible assets used in operations, such as buildings and machinery, not expected to be converted to cash within a year.

Consolidated Balance Sheet

A financial statement that aggregates the assets, liabilities, and equity of a parent company and its subsidiaries.

Subsidiary Company

A company that is controlled by another company, often referred to as the parent company, through ownership of more than half of its voting stock.

Joint Venture

A business arrangement in which two or more parties agree to pool their resources for the purpose of accomplishing a specific task or business activity.