eBook 34 Show Me How Print Item Profit Center Responsibility Reporting for a Service Company Thomas Railroad Company organizes its three divisions, the North (N), South (S), and West (W) regions, as profit centers. The chief executive officer (CEO) evaluates divisional performance, using operating income as a percent of revenues. The following quarterly income and expense accounts were provided from the trial balance as of December 31: Revenues-N Region $1,144,400 Revenues-S Region 1,338,000 Revenues-W Region 2,437,400 Operating Expenses-N Region 725,200 Operating Expenses S Region 796,300 Operating Expenses-W Region 1,474,000 Corporate Expenses-Dispatching 636,800 Corporate Expenses-Equipment Management 206,400