In the Percent-Of-Sales Method, If (A/S) and (L/S) Both Increase

question 12

Multiple Choice

In the percent-of-sales method, if (A/S) and (L/S) both increase:

• A) RNF stays the same.
• B) RNF goes down.
• C) RNF goes up.
• D) more information is needed.

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Definitions:

MBO

Management by Objectives; a performance management approach where managers and employees work together to set, record, and monitor goals for a specified period of time.

Objectives

Specific, measurable goals that an individual or organization aims to achieve.

Accomplishing

The act of achieving a goal or completing a task successfully.

Procedural Justice

The perception of fairness in the processes that lead to outcomes or decisions.