The Primary Limitation of the Forced-Choice Method of Appraisal Is

question 141

Multiple Choice

The primary limitation of the forced-choice method of appraisal is:

• A) that it is expensive to initially develop.
• B) that only highly trained raters can use the format.
• C) that it does not lend itself to peer and self-ratings.
• D) the cost of establishing and maintaining its validity.

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Definitions:

Budgeted Units

The quantity of products or services that a company plans to sell during a certain period, as determined in the budgeting process.

Inventory

The total amount of goods and materials held by a company to be sold or used in production.

Budgeted Finished Goods

An estimate of the finished goods a company plans to produce over a certain period as part of its budgeting process.

Cost of Goods Sold

The direct costs attributable to the production of the goods sold by a company, including materials and labor.