All Profit Centers Are Responsibility Centers, but Not All Responsibility

question 92

True/False

All profit centers are responsibility centers, but not all responsibility centers are profit centers.

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Definitions:

Revenues

The cumulative revenue produced from selling goods or services that are fundamental to a company's main activities.

Cash Dividend

Profits distributed by a company to its shareholders, usually as a form of payment.

Income Statement

A financial statement that shows a company's revenues, expenses, and profit over a specific period.

Dividends Paid

The total amount of dividend payments made to shareholders during a specific period, often reported quarterly or annually.