In profit centers
A)Managers are difficult to evaluate because there is no simple metric of how well they performed
B)Managers typically have the necessary information to run their division efficiently
C)Managers' decisions rarely affect other divisions
D)Managers typically do not have the incentives to run their division efficiently

Question

​In profit centers
A)​Managers are difficult to evaluate because there is no simple metric of how well they performed
B)Managers typically have the necessary information to run their division efficiently
C)Managers' decisions rarely affect other divisions
D)​Managers typically do not have the incentives to run their division efficiently

Quizplus · Accepted Answer

Profit centers are divisions or units within an organization that are responsible for generating profit. Managers in profit centers are evaluated based on the profitability of their division. Therefore, to run their division efficiently, managers typically have the necessary information to make decisions that will maximize profits.

​In Profit Centers

In Profit Centers