A Classification of Costs That Is Useful for Assigning Responsibility

question 65

Multiple Choice

A classification of costs that is useful for assigning responsibility to and evaluating managers is:

• A) Classification by traceability.
• B) Classification by behavior.
• C) Classification by relevance.
• D) Classification by function.
• E) Classification by controllability.

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Definitions:

Corrective Actions

Steps taken to rectify a process, issue, or behavior that deviates from the set standard, aiming to prevent recurrence of the deviation.

Anticipates Problems

The ability to foresee and address issues before they manifest into significant challenges.

Transactional Leadership

A leadership style that focuses on the exchange between leader and followers, where leaders offer rewards for achievement and punishment for failure.

Management By Exception

A management strategy where managers intervene only when their employees' performance deviates significantly from standards, focusing on exceptions to normal work rules.