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In a responsibility accounting system: Control over costs belongs only to the top level of management. Each accounting report contains all items allocated to a
In a responsibility accounting system: Control over costs belongs only to the top level of management. Each accounting report contains all items allocated to a responsibility center. Controllable costs are assigned to managers who are responsible for them. All managers at a given level have equal authority and responsibility. Organized and clear lines of authority and responsibility are only incidental
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