M10-4 (Static) Classifying Responsibility Centers [LO 10-2]

In each of the following situations, identify which type of responsibility center is appropriate based on the decision-making authority the manager would possess:

1.	The manager of the accounting department in Fords corporate office.
2.	The sales manager of a Ford dealership.
3.	The general manager of a Ford dealership.
4.	The manager of Fords corporate division.
5.	The production manager in a Ford plant.

ANSWER CHOICES:

• Cost Center
• Investment Center
• Profit Center
• Revenue Center