Within a business organization, a profit center that is self-supporting in terms of sales, markets, production, and other resources is known as a
A) profit entity.
B) strategic business unit.
C) marketing program.
D) small business.
E) diversified corporation.

Question

Quizplus · Accepted Answer

A self-supporting profit center that operates independently within a larger business organization is known as a strategic business unit (SBU). It is responsible for its own profits, markets, and resources and is categorized as a separate entity within the larger organization. SBUs help in promoting accountability and autonomy while also aggregating resources and expertise, allowing for economies of scale.

Within a Business Organization, a Profit Center That Is Self-Supporting