Multiple Choice QuestionOperating department income statements are used to evaluate the performance of ______ centers.Multiple choice question.costrevenueprofit
Question
Multiple Choice QuestionOperating department income statements are used to evaluate the performance of ______ centers.Multiple choice question.costrevenueprofit
Solution
The correct answer is "profit". Operating department income statements are used to evaluate the performance of profit centers. This is because profit centers are the parts of a business that directly add to its profits. A profit center is responsible for both revenue and costs, and its performance is evaluated on the basis of the profit it generates.
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Operating department income statements are used to evaluate the performance of ______ centers.Multiple choice question.profitrevenuecost
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