An alternative to the limitation of focusing on profits would be
A)communicating other measures are important but continue to base rewards on profits.
B)overstate the value of ending inventory in order to reduce cost of goods sold and improve operating income performance.
C)focus on long-term objectives and appropriate emphasis on profit.
D)analyze the product mix.

Question

Quizplus · Accepted Answer

By focusing on long-term objectives and appropriately emphasizing profit, a company can balance the importance of short-term gains with sustainable growth and success. This allows for strategies such as investing in research and development, employee training and development, and improving customer experience, which may not show immediate results in profits but will be beneficial in the long run. Choosing option A would not address the underlying issue of profit-centered thinking, and option B promotes unethical accounting practices. Analyzing the product mix (option D) is important but does not necessarily offer an alternative to profit focus.

An Alternative to the Limitation of Focusing on Profits Would