Encyclopedias are a secondary source
a. True
b. False
a
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Indicate whether each of the following statements is true or false.Use of residual income to evaluate managers of an investment center may avoid some of the suboptimization that can occur with use of return on investment as a performance measure.Residual income is stated as a ratio or percentage.One disadvantage with residual income as a measure of performance is that it causes smaller divisions to appear to do better than larger divisions.A balanced score card includes various non-financial performance measures as well as financial performance measures.The balanced scorecard is a holistic approach to evaluating management and division performance.
What will be an ideal response?
In verifying a claim for a loss of inventory, an insurance company might use the gross profit method
Indicate whether the statement is true or false
Mulcare Corp. started a compliance program to prevent and detect criminal conduct within the company and had specific, high-level officers in charge of overseeing the program. The company effectively communicated the program to its employees and monitored those employees who were in a position to cheat. It promptly disciplined anyone who broke the law. One effect of having this program is
A. federal investigators would no longer investigate the company since Mulcare could take care of any problems internally. B. federal investigators might be convinced to limit any prosecution to those directly involved rather than attempting to get a conviction against high-ranking officers or against the company itself. C. the Federal Sentencing Guidelines no longer apply. D. any cases would be prosecuted in state, rather than federal, court.
Disaster recovery planning is typically part of the IS operations budget
Indicate whether the statement is true or false