The production line at Morningstar Farms may be classified as a(n)
A)investment center.
B)cost center.
C)profit center.
D)revenue center.

Question

Quizplus · Accepted Answer

The production line at Morningstar Farms is best classified as a cost center because it is a part of the organization that does not directly generate revenue but incurs costs. In a manufacturing context like Morningstar Farms, the production line's primary responsibility is to efficiently produce goods while managing and minimizing costs, rather than generating profits or revenue directly.

The Production Line at Morningstar Farms May Be Classified as A(n)