For a company that uses responsibility accounting, which of the following costs is least likely to appear on a performance report of an assembly-line supervisor?
A) Direct materials used.
B) Departmental supplies.
C) Assembly-line labor.
D) Repairs and maintenance.
E) Assembly-line facilities depreciation.

Question

Quizplus · Accepted Answer

Assembly-line facilities depreciation is least likely to appear on a performance report of an assembly-line supervisor because it is a fixed cost that is not directly controllable by the supervisor on a short-term basis. Responsibility accounting focuses on providing information on costs that are directly controllable by a manager or supervisor.

For a Company That Uses Responsibility Accounting, Which of the Following