a. the variable costs and the revenues of the unit.
b. all revenues and costs that can be traced directly to the unit.
c. the same costs and revenues on which the unit is evaluated.
d. all revenues and costs under his/her control. Question text
Which of the following is a consistently desirable characteristic in a transfer pricing system?
All of the following objectives are reasons that service department allocations can motivate managers except to
a. determine divisional profitability.
b. encourage production managers to help service departments control costs.
c. encourage the usage of certain services.
d. instill a consideration of support costs in production managers.
Question text
Which of the following would be the best measure on which to base a segment manager's performance evaluation for purposes of granting a bonus?
