Question

Which of the following is not applicable to responsibilityaccounting(a) Investment centre(b) Accounting centre(c) Profit centre(d) Cost centre

Answer 1

“Accounting center” is not a part of responsibility accounting.

Explanation:  

Responsibility accounting basically refers to a system in which different divisions of the organization are established as the responsibility centers. In this, each department is given a set goal and to make the  head of the department (manager) is made responsible. They have various types of responsibility centers such as cost centers, investment centers, profit centers and revenue centers.