Business unit reporting shows profit and loss statements for the company as a whole and for:
A) its major business units.
B) controllable expenses.
C) uncontrollable expenses.
D) the contribution margin.

Question

Quizplus · Accepted Answer

Business unit reporting shows profit and loss statements for the company as a whole and for its major business units. This allows management to identify which units are profitable and which ones need improvement. Controllable and uncontrollable expenses and contribution margin may also be included in these statements, but the primary purpose is to analyze the performance of each business unit.

Business Unit Reporting Shows Profit and Loss Statements for the Company