The accountability flows in which direction?

Upwards

The correct answer is option 1-Upwards.

Delegation of authority, undoubtedly empowers an employee to act for his superior but the superior would still be accountable for the outcome. Accountability implies being answerable for the final outcome. Once authority has been delegated and responsibility accepted, one cannot deny accountability. It cannot be delegated and flows upwards, i.e., a subordinate will be accountable to a superior for satisfactory performance of work. It indicates that the manager has to ensure the proper discharge of duties by his subordinates. It is generally enforced through regular feedback on the extent of work accomplished. The subordinate will be expected to explain the consequences of his actions or omissions.