One advantage of nonfinancial measures is that managers directly involved in operations are likely to understand them.The managers understand the components of the measures.

Question

Quizplus · Accepted Answer

Nonfinancial measures are often related to operational aspects of the business, which managers directly involved in the operations are likely to understand. Therefore, they can provide a clearer picture of overall performance to these managers.

One Advantage of Nonfinancial Measures Is That Managers Directly Involved