A major difference between activity-based responsibility accounting and strategic-based responsibility accounting is
A)only strategic-based responsibility accounting is linked to strategy.
B)only strategic-based responsibility accounting is focused on systemwide efficiency.
C)only strategic-based responsibility accounting includes the process perspective.
D)only strategic-based responsibility accounting reinforces team accountability.

Question

Quizplus · Accepted Answer

Activity-based responsibility accounting focuses on the allocation of costs to specific activities, whereas strategic-based responsibility accounting links performance measures to the organization's overall strategy. Therefore, only strategic-based responsibility accounting is linked to strategy.

A Major Difference Between Activity-Based Responsibility Accounting and Strategic-Based Responsibility