Question
12) Elaina Company had the following financial results for last month. What type of responsibility center do these results reflect? Selle Co. Subunit X Revenue
12) Elaina Company had the following financial results for last month. What type of responsibility center do these results reflect?
| Selle Co. Subunit X Revenue by Product |
Actual |
Flexible Budget Variance |
Flexible Budget |
Sales Volume Variance |
Static (Master) Budget |
| WD-40 | $630,000 | $10,000 F | $620,000 | $20,000 F | $600,000 |
| WD-60 | 520,000 | 30,000 U | 550,000 | 40,000 F | 510,000 |
| WD-80 | 125,000 | 5,000 U | 130,000 | 10,000 U | 140,000 |
| QD-40 | 225,000 | 25,000 F | 200,000 | 40,000 U | 240,000 |
| QD-60 | 425,000 | 5,000 F | 420,000 | 20,000 F | 400,000 |
| Total | $1,925,000 | $5,000 F | $1,920,000 | $30,000 F | $1,890,000 |
A) Profit center
B) Revenue center
C) Investment center
D) Cost center
PLEASE SHOW ANSWER AND PROVIDE EXPLANATION!
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Introduction To Industrial Energy Efficiency Energy Auditing Energy Management And Policy Issues
Authors: Patrik Thollander, Magnus Karlsson, Patrik Rohdin, Johan Wollin, Jakob Rosenqvist
1st Edition
0128172479, 978-0128172476
