Interactive activity :Learning Outcomes 12.1
Learning Outcomes Upon completion of this week’s activities, you will :be able to
Discuss how decision-making responsibility .1 and authority are related to incentives and .performance evaluation Explain how return on investment, residual .2 income, and economic value added affect .managers’ incentives and decisions :Action Required 12.2 Watch the short video in the following
Residual Income RI vs Return on investment ROI CPA Exam
:(Test your Knowledge (Question 12.3
Define the terms return on investment, residual income, and economic value added and discuss the role of these in the managers’ .incentives and decisions.
