Missing metrics: managing the cost of complexity
Course:- Accounting Basics
Reference No.:- EM13949692

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  • Read the article titled, "The Missing Metrics: Managing the Cost of Complexity" l Next, in a globalized economy with many business complexities, speculate the major ways that these complexities might impact a business and suggest two (2) actions that a business can take in order to minimize these consequences.
  • From the previous discussion, recommend one (1) approach that an accountant could take in order to measure the types of complexity you identified for a specific business or industry and determine the insight that the measure will provide in relation to business performance
  • Read the article titled, "What Manufacturers Need to Know about Transfer Pricing". Next, assess the major potential problems that a multinational firm could encounter when using negotiated transfer pricing instead of market-based transfer pricing. Provide one (1) recommendation to the firm on how to avoid these problems.
  • Evaluate the validity of the accounting ethics of creating, initiating, or adjusting transactions to repatriate excess cash for multinational firms in transfer pricing decisions and suggest one (1) way that this practice may be implemented.
  • Use the Internet to research folling forecasts as an alternative to budgets. Next, take a position at to whether or not a flexible budget approach dilutes the value of a budget process in the organization. Provide a rationale for your position.
  • Evaluate the impact to a business when compensation, such as sales commissions and bonuses, are tied to achieving budgeted expectations. Suggest two (2) actions that management can take in order to prevent employees from manipulating results.

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