Which of the Following Is NOT Descriptive of Responsibility Centers

question 21

Multiple Choice

Which of the following is NOT descriptive of responsibility centers?

• A)They are used to isolate a unit so that it can be evaluated separately from the rest of the corporation.
• B)Each responsibility center has its own budget and is evaluated on its use of budgeted resources.
• C)The responsibility center coordinates all the functional areas and project developments to implement the strategic decision plan.
• D)The center uses resources to produce a service or a product.
• E)A responsibility center is headed by the manager responsible for the center's performance.

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