Which of the Following Is True About the Practical Guidelines

question 38

Multiple Choice

Which of the following is true about the practical guidelines suggested by Mark Graham Brown for designing a performance measurement system?

• A)Concentrate on measuring a large number of trivial variables.
• B)Avoid changing and adjusting measures even if the environment and strategy changes.
• C)Measures should be based around the needs of customers, shareholders, and other?key stakeholders.
• D)Measures should start at the bottom and flow up to all levels of top management in the organization.

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Definitions:

Budget

An estimation of revenue and expenses over a specified future period of time, used for financial planning and control.

Good Management

The effective and efficient administration of a company's resources, leading to the achievement of organizational goals.

Participative Budgeting

A budgeting process where employees at all levels are involved in the development of the budget, enhancing commitment and understanding of financial goals.

Potential Benefits

The likely advantages or gains that may be realized from a particular action or investment.