Operational Control Systems Can Be Distinguished from Financial Control Systems

question 176

Multiple Choice

Operational control systems can be distinguished from financial control systems:

• A) In the time horizon: financial-control systems have a long-term perspective.
• B) Because they focus on the control of basic business processes.
• C) Because such systems rely on the use of flexible, not static, budgets.
• D) Because they focus on explaining the total operating income variance for a period.
• E) Because they do not include nonfinancial performance indicators.

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Definitions:

Immediate Comforts

Immediate or short-term pleasures or alleviations of discomfort that may not necessarily contribute to long-term well-being.

Human Nature

The innate characteristics, behaviors, and qualities that define humans, including both biological and psychological aspects.

Altruistic

Showing selfless concern for the well-being of others; often characterized by behavior that benefits others at a personal cost.

Political Decisions

Choices or judgments made by individuals or groups related to the governance of a country, state, or community.