The Emphasis on Variance Analysis and Its Use in Performance

question 76

Multiple Choice

The emphasis on variance analysis and its use in performance evaluation must be such that:

• A) managers focus on setting easy to attain targets
• B) larger unfavorable variances should result in negative consequences for personnel held accountable
• C) management should set targets that challenge but are reasonably achievable and require creativity and resourcefulness by personnel held accountable
• D) Management should stretch resources to meet goals even if continuous improvement and quality suffers

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Definitions:

-ase

A suffix used in biochemistry to denote enzymes, which are proteins that catalyze biochemical reactions.

Crine

Pertaining to secretion, used in terms to describe glands or substances involved in the release of chemical substances in the body.

Gen

A prefix meaning "to become," often used in the formation of words related to genes, genetics, or generating something.

Ectasis

A medical term that describes the widening or enlargement of a hollow organ or structure.