Ann Jacobson's Supervisor Has Asked Her to List Any Concerns

question 175

Essay

Ann Jacobson's supervisor has asked her to list any concerns she might have about the proposed development of standards to measure performance and to reward superior performance in her department. Ann's department handles customer calls, directing customer questions and complaints to the appropriate individuals within the firm. The company has never used any performance measure nor paid any performance-related bonuses. It hopes to install a simple but effective system to achieve its twin goals of cost control and performance measurement. Develop the list for Ann based on the information above.

---

Definitions:

Equity Method

An accounting technique used to record investments in other companies where the investor has significant influence but does not have majority control.

Statement of Comprehensive Income

A financial statement that shows all changes in equity during a period except those resulting from investments by and distributions to equity investors.

Voting Shares

Shares that grant the holder the right to vote on company matters, such as electing the board of directors or making decisions affecting the company's policies.

Shareholders' Equity

The residual interest in the assets of an entity after deducting liabilities, essentially representing the owners' equity in a corporation.