--%>

Define Responsibility Center

Responsibility Center: It is an organizational unit headed by the manager or a group of managers who are responsible for its actions. The responsibility centers can be measured as revenue centers (that is responsible for revenue or sales only), cost centers (that is, responsible for costs or expenses only), profit centers (that is, responsible for revenues and costs), or investment centers (answerable for revenues, investments, and costs).

   Related Questions in Managerial Accounting

  • Q : Break-even point The operating level at

    The operating level at which the total sales revenue equals the total cost. Total sale revenue is equal to the price per unit times the number of units sold. Total cost equals total variable cost, the number of units sold in time the variable cost per unit and the tot

  • Q : What do you mean by the term Mission

    What do you mean by the term Mission statements? Briefly describe it.

  • Q : Comparative-Advantage Approach to

    We study optimal government debt maturity in a model where investors derive monetary servicesfrom holding riskless short-term securities. In a simple setting where the government is the onlyissuer of such riskless paper, it trades off the monetary premium associated w

  • Q : Characteristics which accounting

    What are the key qualities or characteristics which accounting information should possess?

  • Q : Management accounting as an information

    Explain Management accounting as an information system in brief?

  • Q : Major tasks of board that runs the

    Write down a short note on the major tasks of board that runs the organization?

  • Q : Define Avoidable Cost Avoidable Cost :

    Avoidable Cost: The cost related with an activity which would not be acquired if the activity were not executed.

  • Q : Main working areas of the Marketing

    Write a short note on the main working areas of the Marketing department?

  • Q : Regions of decision making process What

    What are the possible broad regions of decision making process where management accounting information is required?

  • Q : Capital account An account used in a

    An account used in a partnership to record an individual partner's investment in the partnership plus the indi- vidual's share of any undistributed partnership income. In a corpo- ration, the equity sections have two parts: the contributed capital and retained earning