The Balanced Scorecard

question 57

Multiple Choice

The balanced scorecard:

• A) Is not comprehensive, since it doesn't include all the critical success factors which contribute to competitive success.
• B) Helps focus managers' attention to bottom line profits.
• C) Is forward looking, stressing nonfinancial measures that can lead to benefits in the future.
• D) Fails to reflect environmental and social effects of the firm's operations.
• E) Is heavily weighted toward the financial critical success factors.

---

Definitions:

Regression Model

A statistical model used to understand the relationship between one dependent variable and one or more independent variables.

Multiple Linear Regression

A method in statistics that establishes the connection between one dependent variable and multiple independent variables by applying a linear equation to the data collected.

Salary

Salary is the fixed regular payment, typically expressed on an annual basis, made by an employer to an employee, especially a professional or white-collar worker.

Residual

A specific measurement of the difference between an observed value and the value predicted by a model.