SPECIFY the responsibility centre type for each of the following scenarios: Sr. No. Particulars Type of Responsibility Centre (i) Decentralised…
CA Intermediate · Cost and Management Accounting · MTP · May 2026
SPECIFY the responsibility centre type for each of the following scenarios: Sr. No. Particulars Type of Responsibility Centre (i) Decentralised branches of an organisation (ii) Public sector undertaking of Central Government (iii) Customer support department of an e-commerce company (iv) Restaurant unit in a hotel (v) Reservation department of airlines
Suggested Answer and Working Notes:
Sr. No. Particulars Type of Responsibility Centre (i) Decentralised branches of an organisation Profit Centre (ii) Public sector undertaking of Central Government Investment Centre (iii) Customer support department of an e-commerce company Cost Centre (iv) Restaurant unit in a hotel Profit Centre (v) Reservation department of airlines Revenue Centre
Topics: Introduction to Cost & Management Accounting
Related Questions in this Topic
- Why is it necessary to reconcile the Profits between the Cost Accounts and Financial Accounts?
- Distinguish between cost control and cost reduction.
- Phoenix Manufacturing Ltd. has grown significantly and now operates through several specialised departments. The managem...
- DESCRIBE cost unit and give EXAMPLE(S) of cost unit for the following Industry or Product: Industry or ProductConstructi...
- Define Responsibility Centre and discuss the types of Responsibility Centres.