Which of the Following Statements About Management by Objectives (MBO)

question 48

Multiple Choice

Which of the following statements about management by objectives (MBO) is true?

• A) MBO will not succeed without the total commitment of management to the process.
• B) MBO requires subordinates to set their own goals as part of their growth and development.
• C) MBO begins with the establishment of employee objectives for the upcoming performance period.
• D) Even under the best of circumstances, MBO does not lead to immediate increases in productivity.
• E) All of the above statements about management by objectives (MBO) are true.

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Definitions:

Accounting Records

Documents and books that capture a company's financial transactions, including journals, ledgers, and financial statements.

Cash Account

An account where all transactions are made in cash, including receipts and payments.

Bank Reconciliation

Bank reconciliation is the process of matching the balances in an entity's accounting records for a cash account to the corresponding information on a bank statement, to ensure accuracy.

Internal Control

Strategies and methods adopted by a business to maintain the accuracy of its financial and accounting records, encourage responsibility, and deter dishonest practices.