In Evaluating the Performance of a Profit Center Manager,he/she Should

question 172

Multiple Choice

In evaluating the performance of a profit center manager,he/she should be evaluated on

• A)all revenues and costs that can be traced directly to the unit.
• B)all revenues and costs under his/her control.
• C)the variable costs and the revenues of the unit.
• D)the same costs and revenues on which the unit is evaluateD.

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Definitions:

Daily Management

The ongoing operations and decision-making processes performed by an organization's management team on a day-to-day basis.

Shareholders

Individuals or entities that own one or more shares of stock in a public or private corporation, giving them ownership interests.

Corporate Criminal Liability

The legal principle that a corporation, as an entity, can be held accountable for committing criminal acts.

Strict Liability Rule

A regulation imposing absolute responsibility on certain persons or entities for damages or losses, regardless of fault or intention.