In Which Situation Is Responsibility Accounting Especially Valuable

question 35

Multiple Choice

In which situation is responsibility accounting especially valuable?

• A)when large amounts of uncontrollable costs exist
• B)in not-for-profit companies
• C)in decentralized companies
• D)in cost centres

---

Definitions:

Generic Software

Software designed to perform general functions that are not customized for specific uses or users.

Audit Trails

Records that trace the detailed sequence of transactions, activities, or events associated with operational processes, providing a verifiable trail for review.

Operating Cash Flow

A metric reflecting the cash flow from a company's core operations.

Net Income

Net income is the total earnings of a company after all expenses and taxes have been subtracted from revenues, representing the profit during a specific period.