Question

Q1 â€æ Responsibility Accounting leads to better utilization of centresde
Substantiate. ​

Answer 1

Responsibility accounting is a system of accounting that recognizes various responsibilities centres throughout the organization and reflects the plans and action of each of these centres by assigning particular revenues and costs to the one having the pertinent responsibility it is also called profitability accounting and activity accounting according to this the organization is divided into various responsibility centres and each centre is responsible for it's costs. The performance of each responsibility center is regularly measured..

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