Which of the Following Statements Regarding the Balanced Scorecard Approach

question 57

Multiple Choice

Which of the following statements regarding the balanced scorecard approach is true?

• A)The balanced scorecard uses only long-term performance measures.
• B)The balanced scorecard is designed to encourage the use of a wide range of measures to gauge performance.
• C)The balanced scorecard uses only short-term performance measures.
• D)The balanced scorecard is used because there is a causal relationship between all of the measures and their economic impact.

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Definitions:

Flotation Costs

The costs associated with the issuance of new securities.

Low-dividend Stocks

Stocks of companies that pay lower dividends relative to their share price, often reinvesting earnings into the business for growth.

High-dividend Stocks

High-dividend stocks are shares issued by companies that return a relatively high percentage of their profits to shareholders in the form of dividends.

Personal Income Tax

A tax levied by governments on individuals or households based on their income, with the rate often varying based on income levels.