What Is the Purpose of a Management Control System

question 102

Multiple Choice

What is the purpose of a management control system?

• A) To align more closely the interests of the manager and the interests of the organization.
• B) To allow individuals to obtain business experience.
• C) To define the performance measures for employees.
• D) To focus on the well-being of employees.

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Definitions:

Annual Salary

The total amount of money earned by an employee in a year from their job before taxes and other deductions.

Production

The process that transforms scarce resources into useful goods and services.

Inputs

Resources used in the production process, including labor, capital, and materials.

Outputs

Goods and services of value to households.