A responsibility center in which a manager is responsible for revenues, cost, and investment is a(n)
A) cost center.
B) revenue center.
C) profit center.
D) investment center.
E) None of these.

Question

Quizplus · Accepted Answer

An investment center is a responsibility center in which the manager is accountable for revenues, costs, and investments. This type of center evaluates the manager's ability to generate profits and effectively manage the center's invested capital.

A Responsibility Center in Which a Manager Is Responsible for Revenues