The manager of which of the following responsibility centers is expected to invest in assets that generate profit?
A)Cost center
B)Revenue center
C)Profit center
D)Investment center

Question

Quizplus · Accepted Answer

Investment centers are responsible for investing in assets that generate profit. Cost centers are responsible for keeping costs low, revenue centers are responsible for generating revenue but not necessarily profit, and profit centers are responsible for both generating revenue and controlling costs to generate profit.

The Manager of Which of the Following Responsibility Centers Is