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6. Performance measurement systems are used by management to assess how well employees or units within a company meet the companys goals and objectives. A

6. Performance measurement systems are used by management to assess how well employees or units within a company meet the companys goals and objectives. A performance measurement system does this by using metrics (or measures) of current conditions or performance. Metrics like operating income and cash flows are often used by companies to measure their financial condition and performance.

A. True

B. False: Performance measurement systems are used by management only to punish employees for missing the companys goals and objectives.

C. False: A performance measurement system does this by using metrics (or measures) of only past performance.

D. False: Metrics like operating income and cash flows are seldom used by companies to measure their financial condition and performance

E. B, C, and D

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