What will you expect to find on a responsibility report for a profit centre?

Question

Quizplus · Accepted Answer

A responsibility report for a profit centre should include the controllable margin, which is the difference between the revenue and the direct and controllable costs. Therefore, option D is the best answer. The report should not only include direct costs (option A), exclude indirect fixed costs (option B) or include all fixed costs (controllable and non-controllable) (option C).

What Will You Expect to Find on a Responsibility Report