Which of the Following Statements Regarding Investment Centers Is Incorrect

question 44

Multiple Choice

Which of the following statements regarding investment centers is incorrect?

• A) A manager of an investment center is responsible for the investment of capital,but not revenues or expenses.
• B) Investment centers are commonly found at the higher levels of an organization chart.
• C) A manager of an investment center should be accountable for assets,liabilities,earnings.
• D) Return on investment and residual income are tools used to assess managers of an investment center.

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Definitions:

Error Signal

A feedback signal indicating a discrepancy between the desired and actual performance of a system.

Proportional Bandwidth

In control systems, a parameter that determines the range over which the output is modified in proportion to the error or difference from a set point.

Time Proportioning Control

This control method adjusts the duty cycle of an output to regulate a process variable, commonly used in temperature control systems.

Final Control Element

The Final Control Element in a control system is the device, such as a valve or actuator, that directly manipulates the physical process based on control signals.