A Manager of a Cost Center Is Evaluated Mainly on

question 49

Multiple Choice

A manager of a cost center is evaluated mainly on

• A) the profit that the center generates.
• B) his or her ability to control costs.
• C) the amount of investment it takes to support the cost center.
• D) the amount of revenue that can be generated.

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Definitions:

Delta

A term commonly used in finance and engineering representing change or difference, often indicating a variable change rate or difference in measurements.

Work Centres

Designated areas or locations within a manufacturing facility where a specific production activity or group of activities are performed, often housing specific equipment or resources.

Critical Ratio

A measure used in inventory management and scheduling, comparing the remaining time until a deadline to the remaining work, to prioritize tasks.

Dispatching Rule

Guidelines or criteria used in scheduling to determine which job should be processed next by a resource.