Accounting Information Systems 8th Edition by James Hall

Exercise 46

Which statement below best describes an investment center?
a. The authority to make decisions affecting the major determinants of profit, including the power to choose its markets and sources of supply.
b. The authority to make decisions affecting the major determinants of profit, including the power to choose its markets and sources of supply, and significant control over the amount of invested capital
c. The authority to make decisions over the most significant costs of operations, including the power to choose the sources of supply
d. The authority to provide specialized support to other units within the organization
e. The responsibility for developing markets for and selling of the output of the organization