Suliman manages a manufacturing plant in North Carolina. Customers are unhappy over late deliveries. Inventories of some parts are high. Others are critically short. Senior management told him he has 3 months to become profitable or the plant will close. In this case, the plant’s income statement is:________

a. a tactical control.
b. a behavioral control.
c. an operational control.

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Lanuel

Answer:

a. a tactical control.

Explanation:

A tactical control can be defined as a collection of operations used to meet the objectives of an organization.

In this scenario, Suliman manages a manufacturing plant in North Carolina. Customers are unhappy over late deliveries. Inventories of some parts are high. Others are critically short. Senior management told him he has 3 months to become profitable or the plant will close. In this case, the plant’s income statement is a tactical control.

Answer: an operational control