Note: Please be sure to remind us who your employer is. If you are not currently working, please answer the question based on a prior job. 1. In your workplace, give a good example of a direct cost? An indirect cost? Please provide an explanation of why your example fits the definition. 2. Does your organization use responsibility centers? Please explain. Note: Many students are confused by the term 'responsibility center'. A responsibility center is a segment of an organization and is accountable for its own financial performance -- A responsibility center is not a person or group of people that are responsible for overseeing the organization/department. A 'responsibility center' is a financial concept and should not be confused with the term 'responsible parties' which is a management concept. An example of a responsibility center would be something like the Emergency Department of a hospital. A responsible party would be someone like a manager or a CEO that makes decisions and oversees the operations of the organization.