Which of the Following Is Not an Objective When Choosing

question 31

Multiple Choice

Which of the following is not an objective when choosing a cost allocation method?

• A) Provide an incentive for managers to make decisions consistent with top management's goals.
• B) Provide an opportunity for managers to make decisions consistent with the manager's goals.
• C) Provide a basis for a fair evaluation of manager's performance.
• D) Motivate managers to exert a high level of effort.

---

Definitions:

Problem-Solution

A method or strategy that involves identifying a problem and finding one or more solutions to address it.

Suggesting Alternatives

The process of proposing different options or strategies to address a problem or enhance a plan.

Recommendation Report

A report that evaluates two or more possible alternatives and recommends one of them. Doing nothing is always one alternative.

Decision Criteria

The standards or benchmarks used to guide the decision-making process.