On completing this chapter, you should know about
- Issues that senior management must consider if its organization's profit centers are to be most effective
- The relationship between the responsibility accounting structure and managers' incentives
- Transfer prices and their role in a responsibility accounting system
- How matrix-like organizational structures can complicate the design effort
- Issues to consider in designing an appropriate motivation process for an organization's employees
- Informal decision making and its influence on an organization's success
Chapter 6 discussed some of the basic design issues in developing or reconfiguring a responsibility accounting ...