Which of the following is true of the balanced scorecard?
A) It ignores the financial performance of the company.
B) It has the ability to reveal the underlying nonfinancial drivers of financial performance.
C) It aims to improve the nonfinancial performance of the business.
D) It focuses primarily on the short term performance of the business.

Question

Quizplus · Accepted Answer

The balanced scorecard aims to reveal the underlying nonfinancial drivers of financial performance, making it a comprehensive approach to measuring a company's performance that includes both financial and nonfinancial metrics. It focuses on improving the overall performance of a business, rather than just the financial performance. It considers both short-term and long-term goals. Therefore, option B is the correct answer.

Which of the Following Is True of the Balanced Scorecard