A manufacturer's raw material purchasing department would likely be classified as a:

Question

Quizplus · Accepted Answer

Raw material purchasing department is responsible for buying materials required for manufacturing products. It is considered a cost centre as it does not directly generate revenue for the company but incurs costs related to materials procurement. The primary objective of the purchasing department is to procure the raw materials required for production at the lowest possible cost while maintaining quality standards. Therefore, it is categorized as a cost centre.

A Manufacturer's Raw Material Purchasing Department Would Likely Be Classified