Which ONE of the following is a behavioral factor that must be considered when responsibilities are assigned to managers?

Managers should be held responsible for only actual revenues and actual costs and not for standard revenues or standard costs.

Managers in decentralized organizations should be held responsible for the costs, revenues, and assets in all departments in the organization, whether they directly control those departments or not.

Managers should be held responsible for only those cost, revenues, or assets over which they have substantial control.

Managers with responsibility for direct labor costs should compute efficiency variances based on labor used rather than labor purchased.

Managers should not be allowed to influence the plans and standards for those activities over which they have substantial control.