120) Goal congruence exists when individuals work toward achieving one goal, and groups work
toward achieving a different goal.
120)
121) MOTIVATION is the desire to attain a selected goal combined with the resulting drive or pursuit
toward that goal.
121)
122) A disadvantage of using budgeted costs for transfer prices is that inefficiencies in actual costs can
be passed along to the receiving division.
122)
123) Management control systems motivate managers and other employees to exert effort through a
variety of rewards tied to the achievement of goals.
123)
124) Cost-based transfer pricing is a better method when the products being transferred are specialised
in nature.
124)
125) Market-based transfer prices are ideal in perfectly competitive markets when there is idle capacity
in the selling division.
125)
126) The costs used in cost-based transfer prices can only be actual costs. 126)
127) The prices negotiated by two divisions of the same company usually have no specific relationship
to either costs or market price.
127)
128) A well-designed management control system obtains all of its information from within the
company.
128)
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