An Example of a Revenue Center Is

question 76

Multiple Choice

An example of a revenue center is:

• A) The accounting department in a manufacturing company.
• B) The maintenance department of a university.
• C) The furniture department of a retail department store.
• D) The human resources department in a hospital.

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Definitions:

Cost of Goods Sold

Cost of goods sold (COGS) represents the direct costs attributable to the production of goods sold by a company, including materials and labor.

Merchandise Inventories

Goods or products that a company holds for the purpose of sale to customers in the ordinary course of business.

Sales Budget

A detailed plan that estimates future sales, usually expressed in both units and dollars, for a specific period.

Raw Material Purchases

The acquisition of the basic materials and components required for the production of goods.