A management decision may be beneficial for a given profit center, but not for the entire company. From the overall company viewpoint, this decision would lead to
d. maximization.
Question text
The amounts charged for goods and services exchanged between two divisions are known as:
a. target prices.
b. residual prices.
c. transfer prices.
d. standard variable costs.
e. opportunity costs.
Question text
To partially eliminate the problems that are associated with the short-term focus of return on investment, residual income, and EVA, the performance of a division's major investments is commonly evaluated through:
