An example of a performance measure with a long-run time horizon is:
A)direct materials efficiency variances.
B)number of new patents developed.
C)return on investment.
D)All of these answers are correct.

Question

Quizplus · Accepted Answer

The number of new patents developed is a performance measure with a long-run time horizon as it takes time for research and development to lead to new patents. Direct materials efficiency variances and return on investment are measures that are typically evaluated on a shorter time horizon.

An Example of a Performance Measure with a Long-Run Time