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NEW QUESTION 48
Return on investment (ROI) is a performance measure that requires managers to respond to several factors that are under their Influence or control Decisions Intended to influence ROI are often from a short-term perspective and may conflict with the long-term objectives of the organization. This lack of goal congruence can be minimized by

A. allowing different minimum returns for different investments.B. providing the manager with limitations on what can be used to influence the factors involved in computing the ROI.C. using the two components of ROI (investment turnover and return on sales) instead of only ROI.D. requiring multiple-year measures of ROI and evaluating these results along with the residual incomes from the same periods.

Answer: D

 

NEW QUESTION 49
A scatterplot is an effective visualization technique that is used to

A. illustrate the composition of an aggregate data point that changes over several periodsB. display the distribution of data points for a single variableC. compare and track the change in data points over multiple time periods.D. show the relationship of data points for two specific variables

Answer: D

 

NEW QUESTION 50
A company s accounting department is run by only one accountant. Which one of the following can be implemented as a detective control?

A. Train another employee to record journal entries.B. Require the accountant to update cash balance regularlyC. Require the accountant to double-check his workD. Train another employee to perform bank reconciliations

Answer: D

 

NEW QUESTION 51
The following information pertains to Wang Corporation which uses standard costing for its materials.
The following information pertains to Wang Corporation which uses standard costing for its materials.

What is me amount of the unfavorable material-related variance that would appear on a report to the production foreman?

A. $5,600B. $5,000C. $6,000D. $4,000

Answer: C

 

NEW QUESTION 52
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