The performance reports of ________ contain actual and budgeted information on both their revenues and costs.
A) profit centers
B) cost centers
C) revenue center
D) KPI centers

Question

Quizplus · Accepted Answer

Profit centers are responsible for generating revenue and incurring costs. Therefore, their performance reports would contain actual and budgeted information on both their revenues and costs, making A the best choice. Cost centers are responsible only for incurring costs and revenue centers are responsible only for generating revenue. KPI (key performance indicator) centers are not a commonly used term in accounting and finance.

The Performance Reports of ________ Contain Actual and Budgeted Information