A Responsibility Center in Which the Authority Over and Responsibility

question 100

True/False

A responsibility center in which the authority over and responsibility for costs and revenues is vested in the department manager is termed a profit center.

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Definitions:

Sarbanes-Oxley Act

A U.S. law enacted in 2002 to protect investors by improving the accuracy and reliability of corporate disclosures.

Code Of Ethics

A set of principles designed to guide members of a profession, organization, or group in conducting their actions with honesty and integrity.

Public Companies

Corporations whose shares are traded openly on stock exchanges, allowing public investors to buy and sell ownership stakes.

Deontological Theory

An ethical theory that suggests actions are morally right or wrong based on their adherence to rules and duties, regardless of the outcomes.