Aman Advani, Gihan Amarasiriwardena, and Kit Hickey's company Ministry of Supply sells men's clothes and is organized by different product lines (departments).
Required
1. How can Ministry of Supply use departmental income statements to assist in understanding and controlling operations?
2. Are departmental income statements always the best measure of a department's performance? Explain.
3. Provide examples of nonfinancial performance indicators Ministry of Supply might use as part of a balanced scorecard system of performance evaluation.