Plans That Identify Costs and Expenses Under Each Manager's Control

question 119

Multiple Choice

Plans that identify costs and expenses under each manager's control prior to the reporting period,typically based on the flexible budget approach,are called:

• A)Cost accounting systems.
• B)Managerial accounting systems.
• C)Responsibility accounting systems.
• D)Responsibility accounting budgets.
• E)Activity-based accounting systems.

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Definitions:

Strategy Drives

The principle that strategic planning and decision-making guide the direction and actions of an organization.

Inside Directors

Board members who are also part of the company's management team, involved in the day-to-day operations of the business.

Middle Managers

Employees who manage other managers or teams and are responsible for implementing the policies and plans decided by upper management.

Strategic Leadership

Leadership that inspires people to continuously change, refine, and improve strategies and their implementation.