A responsibility center in which the department manager is responsible for costs, revenues, and assets for a department is called a(n) _____ center.
A)cost
B)profit
C)operating
D)investment

Question

Quizplus · Accepted Answer

An investment center is a responsibility center in which the manager is responsible for costs, revenues, and the efficient use of assets. This means the manager's performance is evaluated based on the return on investment (ROI) or other profitability measures that consider both income statement and balance sheet items.

A Responsibility Center in Which the Department Manager Is Responsible