Question

​_____________ are responsible only for controlling costs.   A.Convertible centers B.Revenue center C.Profit centers D.Cost centers

​_____________ are responsible only for controlling costs.  

A.Convertible centers

B.Revenue center

C.Profit centers

D.Cost centers

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Answer #1

Answer:

Correct option is D. Cost centers.

Explanation:

Cost centers are responsible only for controlling cost . Manager of cost centers evaluate each and every stage of manufacturing process and analyse that which stage cost has been extra incurred.

Note:

Convertible center are responsible for converting raw material into finished goods they do not involved in controlling cost or revenue.

Revenue centre are only responsible for generating revenue from sales.

Profit center are responsible for both revenue as well as cost because of maximizing overall profit of the organisation.

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​_____________ are responsible only for controlling costs.   A.Convertible centers B.Revenue center C.Profit centers D.Cost centers
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