nter is a unit of a business that incurs costs without directly generating revenues. All of the following are considered cost centers except: A) Juice division at Coca Cola. B) Accounting department at Warner Bros. C) Advertising department at Hertz. D) Research department at Microsoft. 28) A unit of a business that generates revenues and incurs costs is called a: A) Performance center B) Responsibility center. C) Profit center D) Cost center. 29) An accounting system that is set up to control costs and evaluate managers' performance by assigning costs to the managers responsible for controlling them is called a: A) Cost accounting system. B) Activity-based accounting system. C) Managerial accounting system. D) Responsibility accounting system. 30) The difference between a profit center and an investment center is A) an investment center incurs no costs but does generate revenues. B) There is no difference; investment center and profit center are synonymous. C) an investment center provides services to profit centers. D) an investment center is responsible for investments made in operating assets. 31) Some investment opportunities that should be accepted from the viewpoint of the entire company may be rejected by a manager who is evaluated on the basis of: A) segment margin. C) return on investment. B) residual income. D) contribution margin 32) Which of the following performance measures will increase if inventory decreases and all else remains the same A) B) C) D) Return on Investment Yes No Yes No Residual Income Yes Yes No No A) Choice A B) Choice B C) Choice C D) Choice D