Question 12 Top management can control Question 13
A manager of a cost center is evaluated mainly on Question 14 Given below is an excerpt from a management performance report :
Difference
Budget Actual
Contribution margin |
$ 600,000 |
$ 580,000 |
$ 20,000 U Controllable fixed costs |
$ 200,000 |
|
$ 220,000 |
$ 20,000 U |
The manager ' s overall performance Question 15 Bogey Co . recorded operating data for its Cheap division for the year . Bogey requires its return to be 10 %.
Sales |
$ 1,400,000 |
Controllable margin |
160,000 |
Total average assets |
4,000,000 |
Fixed costs |
100,000 |
What is the ROI for the year ? Question 16
A measure frequently used to evaluate the performance of the manager of an investment center is Question 17 What is the goal of residual income ? Question 18