Question

Support departments are sometimes known as ________.

1. service departments
2. marketing departments
3. production departments
4. manufacturing departments

Which of the following departments is necessary for production, but is not directly involved in production?

1. Manufacturing department
2. Construction department
3. Production department
4. Maintenance department

Support departments are normally accounted for as a(n) __________.

1. investment center
2. cost center
3. profit center
4. None of the above

Answer 1

Question 1

Answer. Service department

Support services are those function of organization which does not generate main business. Support services provide internal support to the main business of organization. Generally HR, Finance, Logistics, Admin and IT are the support services and club together

Question 2

Answer maintenance department

Question 3

Answer

Cost center

cost center is a department or function within an organization that does not directly add to profit but still costs the organization money to operate. Cost centers only contribute to a company's profitability indirectly, unlike a profit center, which contributes to profitability directly through its actions.

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