To Be Effective, Goals Should Have Certain Qualities, Which Can

question 98

Essay

To be effective, goals should have certain qualities, which can be recalled through the use of the acronym SMART.

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Definitions:

Period Costs

Costs that are expensed in the period in which they are incurred, as opposed to being capitalized or allocated to the cost of goods sold.

Financial Reporting

The process of producing statements that disclose an organization's financial status to management, investors, and regulators, outlining revenue, expenses, assets, and liabilities.

Units

The individual elements or items produced or available in some quantity.

Variable Cost

Costs that change in proportion to the level of production or sales activity, such as raw material and labor costs.