Which of the following statements BEST describes the responsibilities of the head of an investment center?
A) He or she is mainly responsible for controlling costs.
B) He or she is responsible for maximizing income and using assets efficiently.
C) He or she is responsible chiefly for achieving as much operating income as possible.
D) He or she is responsible solely for the efficient and productive use of invested assets.

Question

Quizplus · Accepted Answer

The head of an investment center is responsible for maximizing income and using assets efficiently. This means that they must focus on generating as much revenue as possible while keeping costs low and using resources effectively. Cost control (option A) is important but not the sole responsibility, and achieving operating income (option C) is a means to an end but not the primary responsibility. Option D is too narrow and does not encompass the full scope of the investment center's responsibilities.

Which of the Following Statements BEST Describes the Responsibilities of the Head