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jwalker824 jwalker824
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In a decentralized organization, upper managers need a way to evaluate the performance of unit managers. Based on factors under the unit manager's control, organizational units are categorized as cost centers, profit centers, or investment centers. Classify each of the following centers by placing an "X" in the appropriate column.

​CostProfitInvestment
Accounting department​​​
North division with decision-making authority for all areas​​​
Generally uses ROI or residual to evaluate unit managers​​​
Children's department in retail store​​​
Customer service department​​​
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Managerial Accounting

Managerial Accounting


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rpascuarpascua
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​CostProfitInvestment
Accounting departmentX​​
North division with decision-making authority for all areas​​X
Generally uses ROI or residual to evaluate unit managers​​X
Children's department in retail store​X​
Customer service departmentX​​
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