David has grouped some jobs together in such a way that they can be treated as if they are a separate business which is responsible for its costs, revenues, and profits. David has created a
A) functional department.
B) profit centre.
C) departmentalized work group.
D) matrix structure.
E) a divisionalized department.

Question

Quizplus · Accepted Answer

David has created a profit centre by grouping some jobs together in a way that they can be treated as a separate business responsible for its own costs, revenues, and profits. A profit centre is a unit of an organization that is responsible for generating profits, and its performance is evaluated based on its ability to earn revenue that exceeds its expenses.

David Has Grouped Some Jobs Together in Such a Way