Choosing responsibility center type For each of the following units, identify whether the most appropriate responsibility center

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Choosing responsibility center type For each of the following units, identify whether the most appropriate responsibility center form is a cost center, a profit center, or an investment center and why you have made that choice.

(a) A laboratory in a hospital

(b) A restaurant in a department store

(c) The computer services group in an insurance company

(d) A maintenance department in a factory

(e) A customer service department in a mail-order company

(f) A warehouse used to store goods for distribution in a large city

(g) A publishing company acquired by a diversified corporation.

(LO 1)

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Management Accounting

ISBN: 9780130101952

3rd Edition

Authors: Anthony A. Atkinson, Robert S. Kaplan, S. Mark Young, Rajiv D. Banker, Pajiv D. Banker

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