The Basic Purpose of Control Is

question 159

Multiple Choice

The basic purpose of control is

• A) to cope with organizational complexity.
• B) to adapt to environmental changes.
• C) to minimize costs.
• D) to limit the accumulation of error.
• E) All of these choices

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Definitions:

Average Operating Assets

The average value of assets used in the daily operation of a business, calculated over a specific period.

Net Operating Income

The income a company makes from its regular business activities, not including costs related to interest and taxes.

Net Operating Income

A measure of a company's profitability that calculates how much revenue exceeds operating expenses, not including taxes and interest expenses.

Average Operating Assets

A financial metric calculated by averaging the beginning and ending values of assets employed in generating operating income over a certain period.