Which of the Following Is True of the Tools for Control

question 41

Multiple Choice

Which of the following is true of the tools for control?

• A) Budgets and reports are rarely used control tools in most organizations.
• B) Supervisors should ensure that performance reports are elaborate and convoluted.
• C) The inability to control through personal observation is a challenge of supervising employees who work at home.
• D) Personal observations cannot help supervisors understand the activities behind the numbers in reports.

---

Definitions:

Canada Call

A feature of certain bonds allowing the issuer to redeem the bond before maturity exclusively within Canada.

Market Risk

That part of a security’s total risk that cannot be eliminated by diversification; measured by the beta coefficient.

Maturity Date

The date when the bond’s par value is repaid to the bondholder. Maturity dates generally range from 10 to 40 years from the time of issue.

Default Probability

The likelihood that a borrower will be unable to meet debt obligations, leading to a default on the obligation.