which of the following statements is true of performance reporting? lest. Exam #

Question

which of the following statements is true of performance reporting? lest. Exam # 10: Chapter 24 This Question: 1 pt 7 of 20 (4 comp Which of the following statements is true of performance reporting? O A. Every variance, regardless of magnitude, must be investigated by the managers O B. Managers should not be held accountable for uncontrollable variances O C. Only unfavorable variances should be explained in the reports O D. Responsibility reports should focus on the person. responsible for select vou

Explanation / Answer

Answer is B i.e Manager should not be held accountable for uncontrollable variances Rest of the three alternatives does not hold true because A Variances of lesser magnitude are immaterial and can be ignored C Not only Unfavourable but favourable variances should reported for better performance reporting D Responsibility report should focus not only person responsible for unfavourable variances but also on Information Answer B is correct because Manger can not held repsonsible for variances, be it, favourable or unfavourable, which are uncontrollable

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