Based on the types of costs incurred,what are the two categories of cost centers?
A)engineered cost centers and discretionary cost centers.
B)direct cost centers and indirect cost centers.
C)sunk cost centers and opportunity cost centers.
D)short-term cost centers and long-term cost centers.

Question

Quizplus · Accepted Answer

Engineered cost centers and discretionary cost centers are the two categories based on the types of costs incurred. Engineered cost centers have costs that can be directly related to a specific level of activity or volume of output, while discretionary cost centers involve costs that are based on managerial judgment and decisions, not directly tied to a level of activity.

Based on the Types of Costs Incurred,what Are the Two