"Are you telling me that we have to write off over $1 million in revenue because our eastern division manager did not accrue it properly?" asked the CEO. His CFO replied, "Yes. I know that we are a start-up, still working on developing policies, rules, and procedures, but, in this case, the division manager had no processes in place to monitor the project's progress." The CEO concluded, "The ________ has caused irreparable damage to our firm."
A) firm's expectations
B) lack of controls
C) agreed-upon standards
D) market control approach
E) bureaucratic control approach

Question

Quizplus · Accepted Answer

The statement "the division manager had no processes in place to monitor the project's progress" indicates a lack of controls. Therefore, option B is the best choice, as it directly addresses the issue at hand.

"Are You Telling Me That We Have to Write Off