Three typical factors that drive the behavior of employees to act unethically are:A. Supervision, Motivation and ControlsB. Opportunity, Rationalization and MotivationC. Motivation, Adictions and Supervision.D. All of the aboveE. None of the above.

The net book value problem with measures such as ROI and RI is that:A. It does not represent a replacement value of the assets, and therefore as time passes decreases over time.B. As time passes, the capital charge and the return both increase.C. With the passage of time, aging assets increase both values. D. All of the aboveE. None of the above.

Which one of the following statements is correct? A highly centralised organisation:A. Does not need any kind of performance measurement and reporting.B. Permits a substantial degree of autonomy to divisonal managers.C. Allows managers to retain close scrunity and control over the business.D. Is always less efficient than a decentralised organisation.E. None of the above.

What is the purpose of transfer prices within an organization?A. It provides for unprofitable profit centresto be made profitable through the use of subsidizes prices.B. It provides proper economic signals so that profit center managers make good economic decisions from a corporate standpoint.C. It provides profitable profit centres to be made even more profitable, as a form of incentive to the profit center managers.D. All of the aboveE. None of the above.

What is the benefit of setting high targets for performance pay?A. To maintain vertical compensation equity.B. To avoid undeserved bonuses due to windfall gamesC. To avoid paying bonuses for performance which is considered mediocre or worse.D. All of the aboveE. None of the above.

Which of the following would be a control to ensure that data input is accurate?A. Security CameraB. Audit TrailC. Format and Numerical CheckD. PasswordE. None of the above.

The myopia problem occur when:A. Financial measures create pressures for short-term performance potentially at the expense of long-term value creation.B. Financial measures create pressures for long-term performance, potentially at the expense of employee retention.C.Financial measures create situations when from a corporate perspective things are not valuable, but from a socioeconomic perspective they are.D. All of the aboveE. None of the above.

What is an example of a non-monetary punishment?A. PromotionB. No promotionC. Vacation tripD.All of the above.E. None of the above.

The aim of performance management is to:A. Ensure employee's performance is supporting the company's strategic goals and objectives.B. Consolidate goal setting.C. Evaluate employee's performance against standards.D.All of the above.E. None of the above.

Which one of the following statements about goal congruence in a decentralised organization is correct?A. involves the minimisation of inter-divisional rivalries in order to serve the best interests of the organisation as a whole.B. Means that all divisional managers are given the same level of profit-related bonus.C. Requires the achievement of organisational goals within a tight timeframe.D.All of the above.E. None of the above.