Some Managers Believe That Residual Income Is Superior to Return

question 174

True/False

Some managers believe that residual income is superior to return on investment as a means of measuring performance,as it encourages the manager to make investment decisions that are more consistent with the interests of the company as a whole.

---

Definitions:

Leaders

Individuals who influence and guide others towards achieving common goals or objectives.

Achievement Oriented

Refers to a focus on setting and meeting high goals to achieve significant accomplishments.

Leadership Behavior

Actions and attitudes displayed by leaders, influencing team dynamics and organizational outcomes.

Reformulated Path-Goal Theory

An evolved theoretical framework that emphasizes how leaders can enhance follower performance and satisfaction by aligning leadership style with situational factors.