In Responsibility Accounting,a Center's Performance Is Measured by Those Costs

question 41

Multiple Choice

In responsibility accounting,a center's performance is measured by those costs which are controllable.Controllable costs are best described as including (CMA adapted)

• A)direct materials and direct labor only.
• B)only those costs that the manager can influence in the current period.
• C)only discretionary costs.
• D)those costs about which the manager is knowledgeable and informed.
• E)incremental and fixed costs.