Indicate Whether Each of the Following Statements Is True or False

question 64

Short Answer

Indicate whether each of the following statements is true or false.
Use of residual income to evaluate managers of an investment center may avoid some of the suboptimization that can occur with use of return on investment as a performance measure.______
Residual income is stated as a ratio or percentage.______
One disadvantage with residual income as a measure of performance is that it causes smaller divisions to appear to do better than larger divisions.______
A balanced score card includes various nonfinancial performance measures as well as financial performance measures.______
The balanced scorecard is a holistic approach to evaluating management and division performance.______

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Definitions:

Distinctive Culture

Unique characteristics, beliefs, practices, and values shared by a group of people, distinguishing them from other groups.

Common Culture

The shared beliefs, behaviors, practices, and norms among members of a specific group or society.

Coaching

A developmental process whereby an individual gets support while learning to achieve a personal or professional competence.

Health Maintenance

The practice of adopting lifestyle choices and healthcare practices aimed at preventing disease and enhancing wellness.