Does Operating Income Best Measure a Subunit's Financial Performance? This

question 128

Multiple Choice

Does operating income best measure a subunit's financial performance? This question is considered part of which step in designing an accounting-based performance measure?

• A)Choose performance measures that align with top management's financial goals.
• B)Choose the time horizon of each performance measure.
• C)Choose a definition for each performance measure.
• D)Choose a measurement alternative for each performance measure.

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Definitions:

Task Behaviors

The actions and activities leaders engage in that are directed towards goal achievement and task completion.

Relationship Behaviors

Refer to the actions and interactions between individuals or groups that affect their connection and communication.

Organization Level

Pertains to the tier or position of an entity or process within the overall structure of an organization, affecting its scope of influence and responsibility.

Middle Ground

An intermediate position or compromise between two opposing views or parties.