Which of the Following Statements Is True of Performance Reporting

question 5

Multiple Choice

Which of the following statements is true of performance reporting?

• A)Responsibility reports should focus on the person responsible for unfavorable variances,rather than information.
• B)Managers should not be held accountable for uncontrollable variances.
• C)Only unfavorable variances in the reports should be explained.
• D)Every variance,regardless of magnitude,must be investigated by the managers.

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Definitions:

Displacement

In psychology, displacement is a defense mechanism where a person redirects a negative emotion from its original source to a safer, substitute target.

Projection

A defense mechanism where individuals attribute their own unacceptable thoughts, feelings, and motives to another person.

Displacement

A defense mechanism where an individual shifts emotional impulses from an undesirable object or person to a more acceptable one.

Regression

A statistical method used to model the relationship between a dependent variable and one or more independent variables.