In a Cost Center, the Manager Has Responsibility and Authority

question 68

Multiple Choice

In a cost center, the manager has responsibility and authority for making decisions that affect:

• A) only revenues.
• B) both revenues and assets.
• C) only costs.
• D) both costs and revenues.

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Definitions:

Malpractice Suit

A legal case brought against a healthcare provider for negligence or failure to meet accepted standards of care, resulting in harm to a patient.

Court Costs

The expenses associated with legal proceedings, including filing fees, attorney fees, and other litigation costs.

Expected Monetary Value(EMV)

A calculation used in decision-making under risk, representing the sum of possible outcomes weighted by their respective probabilities and monetary impacts.

Expected Opportunity Loss Decision

A decision-making approach that minimizes the expected loss due to not choosing the best option under uncertainty.