A Separate Company Unit Responsible for Its Own Cost and Revenue

question 62

Multiple Choice

A separate company unit responsible for its own cost and revenue is referred to as which of the following?

• A) Centralized organization
• B) Decentralized organization
• C) Department
• D) Job specialty
• E) Profit center

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Definitions:

Central Management Direction

highlights a leadership approach where central figures or bodies within an organization dictate policies and strategies, streamlining decision-making processes.

Formal Structures

The officially designated channels of communication and division of responsibilities within an organization.

Policies

Established guidelines, rules, or principles that dictate how an organization’s affairs should be conducted, directing both strategy and operations.

Tasks

Refers to specific duties or pieces of work assigned or required as part of a job or role.