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Indicate whether each item listed below is most closely associated with: (A)return on investment, (B)residual income, or (C)economic value added. Each numbered item has only one correct answer.
____ 1. Adjustments incorporated in calculations are a matter of management judgment
____ 2. Components motivate managers to increase sales
____ 3. Discourages managers from investing in projects that may harm divisional results but may enhance overall organizational results
____ 4. Does not incorporate measurements of risk
____ 5. Does not penalize project investments with lower returns than current returns
____ 6. Easily compared with external benchmarks
____ 7. Incorporates weighted average cost of capital
____ 8. Larger subunits are more likely to report better results
____ 9. Measures the dollar amount of profits given a required rate of return
____ 10. Research and development costs are often capitalized in its calculation
Lowest Priority
The last or least important consideration or order in a list or sequence of actions.
American Association of Medical Assistants (AAMA)
A professional organization for medical assistants, providing certification, education, and support for its members.
National Certified Medical Assistant
A credential for medical assistants who have passed a national certification exam, validating their competencies in medical assisting.
National Healthcareer Association (NHA)
A certification organization for healthcare professionals, ensuring they meet predetermined standards for knowledge and skills in their fields.
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