All the following are limitations of short$-$term financial performance indicators except:

Multiple Choice

Focusing on individual cost variances can result in optimum local but not global $($i$.$e$.,$ firm$-$wide$)$ performance.

Operating personnel may not readily understand or be able to interpret financial$-$performance indicators.

The construction, application, updating, and use of a standard cost system may incur significant costs.

Senior managers typically find non$-$financial performance indicators more useful than summary financial$-$performance indicators.

Employees and managers can take actions that improve short$-$term financial performance at the expense of long$-$term performance.