Residual income is an example of a ____ performance measurement.
A)long-term
B)short-term
C)qualitative
D)profit center

Question

Quizplus · Accepted Answer

Residual income is considered a short-term performance measurement because it evaluates the performance of a business or investment over a relatively short period, typically within a fiscal year, focusing on the income generated beyond the minimum required return.

Residual Income Is an Example of a ____ Performance Measurement