Indicate Whether Each of the Following Statements Is True or False

question 139

Short Answer

Indicate whether each of the following statements is true or false.
Cost centers tend to be found in the upper levels of a company's organization chart.______
Managers of investment centers are accountable for assets,liabilities,and earnings.______
Responsibility reports are prepared only for the top-level managers of a business because they are responsible for the business as a whole.______
Responsibility reports often show actual and budgeted revenues and expenses and the amounts of any variances.______
Responsibility accounting reports are arranged using the management by exception approach.______

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Definitions:

Government Deficit

Government Deficit occurs when a government's expenditures exceed its revenues within a specific fiscal period, leading to borrowing or using saved reserves.

Risk-free Interest Rate

The rate of return on an investment with no risk of financial loss, often associated with government bonds.

Foreign Trade Surplus

A situation where a country's exports exceed its imports over a given period, indicating a positive balance of trade.

Portfolio Riskiness

Refers to the degree of uncertainty or potential financial loss inherent in an investment portfolio.