All of the Following Are Reasons That Financial Control May

question 12

Multiple Choice

All of the following are reasons that financial control may be an ineffective scorecard EXCEPT that:

• A)it fails to identify the causes or drivers of performance.
• B)it focuses on financial measures while ignoring other important attributes of performance.
• C)it focuses on long-term rather than short-term performance measures.
• D)it is an aggregate,rather than a detailed measure of performance.

---

Definitions:

Depreciation Expense

Dividing the expense of a material asset throughout its service life.

Straight-Line Depreciation

A method of depreciating an asset evenly over its useful life, allocating an equal portion of the asset's cost as an expense in each accounting period until it reaches its salvage value.

Depreciable Cost

Depreciable cost is the cost of a fixed asset minus its salvage value, over which the asset's cost can be depreciated over its useful life.

Partial Year

A term referring to a portion of a year, often used in the context of accounting and financial analysis for periods less than 12 months.