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Large organizations have a variety of activities which they carry out in different locations and most of these organizations such as manufacturing and banking industry adopt divisionalized or branch structures.
The way a company is organized, which depends on such things as the culture of its home country and the philosophy of its top managers, influences its reporting systems.
It is palpable that the banking firms have adopts a branch structure.
The style in which branch performance is controlled and measured is, therefore, of particular meaning.
A central issue of responsibility accounting is whether a branch manager should be held accountable for transactions that he or she cannot influence by his or her actions.
This research focuses on the use of financial performance measures in evaluating branch managers’ performance; and describes the relative importance attached to financial performance measures versus non financial performance measures that are used to evaluate branch managers’ performance.
Thus, to achieve the stated objectives both quantitative and qualitative research was employed.
Tesfaye Eresso Gofe, lecturer of Accounting and Finance at University of Wollega, Ethiopia.
He has also taught accounting and auditing at the University of Unity.He received his Msc.
in Accounting and Finance from Addis Ababa University, Ethiopia.
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