A profit center manager should be evaluated by
A)Examination of actual costs against budgeted costs.
B)A review of both revenues and expenses,with a focus on operating income.
C)How well assets have been used to generate income.
D)None of these answer choices are correct.

Question

Quizplus · Accepted Answer

A profit center manager should be evaluated based on their ability to generate operating income, which considers both revenues and expenses. While examining actual vs. budgeted costs and how well assets have been used to generate income are important factors, they alone do not provide a complete evaluation of a profit center manager.

A Profit Center Manager Should Be Evaluated by