In Evaluating the Profit Center Manager,the Income from Operations Should

question 70

Multiple Choice

In evaluating the profit center manager,the income from operations should be compared:

• A)across profit centers.
• B)to historical performance or budget.
• C)to the competitor's net income.
• D)to the total company's earnings per share.

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Definitions:

Coefficient Of Skewness

A statistical measure that quantifies the asymmetry of a distribution around its mean, indicating if the distribution leans to the left or right.

Skewness

A measure of the asymmetry of the probability distribution of a real-valued random variable, indicating how much the distribution leans to one side of the mean.

Positively Skewed

Describes a distribution of data where the tail on the right side of the histogram is longer or fatter than the left side, indicating that the majority of the data points are clustered to the left.

Histogram

A graphical representation of data using bars of different heights to illustrate the distribution of variables within intervals.