Which of the Following Statements Is True of Performance Reporting

question 103

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 should be explained in the reports.
• D) Every variance, regardless of magnitude, must be investigated by the managers.

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