Responsibility Accounting Reports for a Profit Center Typically Show

question 39

Multiple Choice

Responsibility accounting reports for a profit center typically show:

• A)revenues,expenses,and profit controlled by the manager of the center.
• B)only the controllable revenues.
• C)revenues,expenses,profit,and investment in assets controlled by the manager of the center.
• D)all the investment in assets controlled by the manager of the center.

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Definitions:

Market Timing

An investment strategy where the investor tries to predict future market movements to buy low and sell high.

Asset Allocation Fund

A mutual fund that spreads its investments across various asset classes, aiming to reduce risk through diversification.

Sector Fund

A mutual fund that invests exclusively in a particular sector of the economy, such as technology, health care, or finance.

Money Market Funds

Mutual funds that invest in short-term debt securities such as government bonds, treasury bills, and commercial paper, offering investors liquidity and safety.