Anything for Which Managers Want a Separate Measurement of Cost

question 203

Multiple Choice

Anything for which managers want a separate measurement of cost is called a ________.

• A) responsibility center
• B) cost object
• C) profit object
• D) conversion cost

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Definitions:

Partnerships

A business organization where two or more individuals manage and operate the business in accordance with terms set out in a partnership agreement.

Bill Form

A document template used for outlining the details of a billing transaction, including the amount due, services or products provided, and payment terms.

Obligation to Pay

A legal or financial commitment to make payments to another party or entity.

Paying Cash

The act of settling a transaction or paying an expense with physical currency or cash equivalents at the time of purchase.