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a good day to you all welcome to the Chartered Accountants Academy management accounting in finance the presenter for the day is matzo wash envira with the lecturer in the management accounting and finance department and today I am going to be covering with you performance evaluation so our learning objectives are to understand why performance measurement is important number two to distinguish between functional and division alized organizational structures and the concept of control and last but not least to discuss how residual income and return on investment in how they tie into net present value now lets get right into it now why do we need performance management first of all to encourage congruence by evaluating managers for measures which will maximize sustainable long term growth now due to the sizes of entities they are often divided into separate independent divisions but many may it in the best interests of the division a lot of the company so therefore it is needed that pe