When the chief financial officer of a company wants a report on business units which have spent 10 percent more than their allotted budget, she would be requesting which type of report?
A)Ad hoc
B)Routine
C)Exception
D)Detailed
E)Key indicator

Question

Quizplus · Accepted Answer

The CFO is requesting a report on business units that have exceeded their allotted budget by 10 percent. This falls under the category of exception reporting, which highlights significant deviations from normal or expected activity. The report is not routine since it is focused on a specific criterion (i.e. exceeding budget by 10 percent). It is not ad hoc because it is not a one-time request, but rather a recurring report that is generated whenever the threshold is breached. The report is not detailed or a key indicator because it is focused on a single metric (i.e. exceeding budget by 10 percent), rather than providing an extensive overview of the business unit's financial performance.

When the Chief Financial Officer of a Company Wants a Report