The most useful evaluation of a manager's cost performance is based on:
A) Controllable costs.
B) Contribution percentages.
C) Departmental contributions to overhead.
D) Uncontrollable expenses.
E) Direct costs.

Question

Quizplus · Accepted Answer

Controllable costs are those costs that a manager can directly influence or have control over. By evaluating a manager's performance based on controllable costs, it provides a better measure of their ability to manage resources efficiently and effectively. It also helps to identify areas where improvements can be made and facilitates a more accurate comparison between different managers or departments.

The Most Useful Evaluation of a Manager's Cost Performance Is