Cost center: Cost center incurs costs and does not generate the revenue directly. Investment Center: Investment center takes care of revenue, cost and investment. Departmental Accounting System: This is an accounting system which records the transactions of a particular department and shows its performance. Operating Department: Operating departments conducts the operations of business like manufacturing, sales, etc. Profit Center: Profit center generate revenue and incur expenses. Responsibility Accounting System: This is an accounting system which shows responsibility for managers. Service Department: Service departments are assisting departments for operating department. Service departments are not directly engaged in main operations but they perform assisting works. To choose: The option that states the cost center manager.

Question

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Answer 1

Question

Chapter 10, Problem 4MC

To determine

Concept introduction:

Cost center:

Cost center incurs costs and does not generate the revenue directly.

Investment Center:

Investment center takes care of revenue, cost and investment.

Departmental Accounting System:

This is an accounting system which records the transactions of a particular department and shows its performance.

Operating Department:

Operating departments conducts the operations of business like manufacturing, sales, etc.

Profit Center:

Profit center generate revenue and incur expenses.

Responsibility Accounting System:

This is an accounting system which shows responsibility for managers.

Service Department:

Service departments are assisting departments for operating department. Service departments are not directly engaged in main operations but they perform assisting works.

To choose:

The option that states the cost center manager.

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Answer 2

Question

Chapter 10, Problem 4MC

To determine

Concept introduction:

Cost center:

Cost center incurs costs and does not generate the revenue directly.

Investment Center:

Investment center takes care of revenue, cost and investment.

Departmental Accounting System:

This is an accounting system which records the transactions of a particular department and shows its performance.

Operating Department:

Operating departments conducts the operations of business like manufacturing, sales, etc.

Profit Center:

Profit center generate revenue and incur expenses.

Responsibility Accounting System:

This is an accounting system which shows responsibility for managers.

Service Department:

Service departments are assisting departments for operating department. Service departments are not directly engaged in main operations but they perform assisting works.

To choose:

The option that states the cost center manager.

Expert Solution & Answer

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Check out a sample textbook solution

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Answer 3

Question

Chapter 10, Problem 4MC

To determine

Concept introduction:

Cost center:

Cost center incurs costs and does not generate the revenue directly.

Investment Center:

Investment center takes care of revenue, cost and investment.

Departmental Accounting System:

This is an accounting system which records the transactions of a particular department and shows its performance.

Operating Department:

Operating departments conducts the operations of business like manufacturing, sales, etc.

Profit Center:

Profit center generate revenue and incur expenses.

Responsibility Accounting System:

This is an accounting system which shows responsibility for managers.

Service Department:

Service departments are assisting departments for operating department. Service departments are not directly engaged in main operations but they perform assisting works.

To choose:

The option that states the cost center manager.

Expert Solution & Answer

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Answer 4

Question

Chapter 10, Problem 4MC

To determine

Concept introduction:

Cost center:

Cost center incurs costs and does not generate the revenue directly.

Investment Center:

Investment center takes care of revenue, cost and investment.

Departmental Accounting System:

This is an accounting system which records the transactions of a particular department and shows its performance.

Operating Department:

Operating departments conducts the operations of business like manufacturing, sales, etc.

Profit Center:

Profit center generate revenue and incur expenses.

Responsibility Accounting System:

This is an accounting system which shows responsibility for managers.

Service Department:

Service departments are assisting departments for operating department. Service departments are not directly engaged in main operations but they perform assisting works.

To choose:

The option that states the cost center manager.

Expert Solution & Answer

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Answer 5

Chapter 10, Problem 4MC

To determine

Concept introduction:

Cost center:

Cost center incurs costs and does not generate the revenue directly.

Investment Center:

Investment center takes care of revenue, cost and investment.

Departmental Accounting System:

This is an accounting system which records the transactions of a particular department and shows its performance.

Operating Department:

Operating departments conducts the operations of business like manufacturing, sales, etc.

Profit Center:

Profit center generate revenue and incur expenses.

Responsibility Accounting System:

This is an accounting system which shows responsibility for managers.

Service Department:

Service departments are assisting departments for operating department. Service departments are not directly engaged in main operations but they perform assisting works.

To choose:

The option that states the cost center manager.

Answer 6

Chapter 10, Problem 4MC

To determine

Concept introduction:

Cost center:

Cost center incurs costs and does not generate the revenue directly.

Investment Center:

Investment center takes care of revenue, cost and investment.

Departmental Accounting System:

This is an accounting system which records the transactions of a particular department and shows its performance.

Operating Department:

Operating departments conducts the operations of business like manufacturing, sales, etc.

Profit Center:

Profit center generate revenue and incur expenses.

Responsibility Accounting System:

This is an accounting system which shows responsibility for managers.

Service Department:

Service departments are assisting departments for operating department. Service departments are not directly engaged in main operations but they perform assisting works.

To choose:

The option that states the cost center manager.

Answer 7

Chapter 10, Problem 4MC

To determine

Concept introduction:

Cost center:

Cost center incurs costs and does not generate the revenue directly.

Investment Center:

Investment center takes care of revenue, cost and investment.

Departmental Accounting System:

This is an accounting system which records the transactions of a particular department and shows its performance.

Operating Department:

Operating departments conducts the operations of business like manufacturing, sales, etc.

Profit Center:

Profit center generate revenue and incur expenses.

Responsibility Accounting System:

This is an accounting system which shows responsibility for managers.

Service Department:

Service departments are assisting departments for operating department. Service departments are not directly engaged in main operations but they perform assisting works.

To choose:

The option that states the cost center manager.

Answer 8

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Answer 9

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Answer 10

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Answer 11

Ch. 10 - Explain how centralized and decentralized...Ch. 10 - Why does decentralization create the need for...Ch. 10 - What is the controllability principle and why is...Ch. 10 - Prob. 4Q Ch. 10 - Prob. 5Q Ch. 10 - Prob. 6Q Ch. 10 - Prob. 7Q Ch. 10 - Prob. 8Q Ch. 10 - Return on investment may be separated into two...Ch. 10 - Prob. 10Q

Solution Summary: The author introduces the concept of cost center, investment center and responsibility accounting system.

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