Which of the Following Is True of Responsibility Accounting

question 21

Multiple Choice

Which of the following is true of responsibility accounting?

• A) It suggests that foreign subsidiaries should be held responsible for profitability of the parent companies.
• B) Responsibility accounting suggests that local manager should be held responsible for the translation adjustment.
• C) It suggests that costs, revenues, assets, and liabilities should be traced to the individual manager who is responsible for them.
• D) It suggests that managers should be held accountable for items that are both controllable and uncontrollable.

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Definitions:

Recognition Skills

are the abilities to identify and acknowledge information, objects, or situations based on previous experiences or knowledge.

Infants

Very young children or babies, typically those under one year of age, who are in the earliest stages of development.

Memory

Memory is the cognitive function that enables an individual to retain information and retrieve it when necessary.

Cognitive Development

The process of growth and change in intellectual capabilities that occurs from infancy through adulthood.